It seems like every week there is another update that makes Snapchat users smile. Whether their filters are transforming you into a dog or a vomiting rainbow, people have a blast while using the app, as it gears up for its highly touted IPO. Users and (possible) investors alike, however, should be getting even more excited as the rapid picture/messaging service has reportedly purchased an augmented reality startup based in Israel.
CNBC, citing Israeli publication Calicalist, reports that Snap purchased Cimagine Media for between $30 and $40 million last week.
Cimagine’s augmented reality platform lets consumers visualize products they want to buy. So, for example, if you wanted to purchase a chair from one of the company’s clients you could use a tablet or smartphone to see what the furniture would look like in your home, and by which wall you’d want it to sit by.
In short, Cimagine’s acquisition would allow Snapchat to create more lifelike lenses and enable the company to continue promotions with Starbucks, content producers, and retailers that superimpose marketed items in photos taken on the service.
The purchase of Cimagine comes just a month after Snap quietly filed for a $25 billion initial public offering, as mentioned above.
The mid-November filing was made with the Securities and Exchange Commission under the U.S. Jumpstart Our Business Startups Act. This allows a company with less than $1 billion in revenue to file confidentially to gauge investor interest.