Are Snapchat's Disappearing Photos Really Worth $800 Million?

The following video is from Friday's installment of The Motley Fool's Weekly Tech Review, in which host Chris Hill and analysts Eric Bleeker and Jason Moser look at the biggest stories driving the tech sector this week.

Snapchat, an app-based service that allows users to send photos and other content to friends or groups, which is only visible to the recipient for a variable length of time before vanishing permanently, has been valued at an unbelievable $800 million in its most recent round of fundraising. In this segment, Jason and Eric discuss why this valuation seems a bit frothy, why the concept might prove difficult to monetize, and why user engagement of this and other services considered to be potential Facebook disruptors may not be eating into Facebook's engagement level nearly as much as analysts fear.

The full video is available here .

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The relevant video segment can be found between 3:55 and 7:58.

The article Are Snapchat's Disappearing Photos Really Worth $800 Million? originally appeared on Fool.com.

Chris Hill, Eric Bleeker, CFA, and Jason Moser have no position in any stocks mentioned. The Motley Fool recommends and owns shares of Facebook and Google. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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