Shares of Snapchat parent Snap fell more than 5% Thursday, bottoming out at $US13.72, after a Bloomberg report said Twitter was working on a “Snapchat-style” video product to speed up multimedia sharing on its app.
Details on the tools were scant, and anonymous sources familiar with the product’s development told reporter Selina Wang that its actual functionality could change drastically over the next few months before it is actually released.
Snap is used to competitors copying its main product’s innovative features. Facebook has famously mimicked the “stories” feature, which first appeared on Snapchat, in both its Messenger and Instagram apps.
Twitter, shares of which were largely unchanged in trading Thursday, is desperate to increase its user engagement, as well as its stagnant stock price. Jack Dorsey returned to helm the company as CEO in 2015, and its most recent earnings report revealed a 15% uptick in daily active users, an important metric for social media companies.
Shares of Snap have declined 43.85% since its IPO in March 2017.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.