Snapchat is about to gain a new investor: Yahoo. So says the Wall Street Journal, which is reporting that Yahoo will reinvest a bit of its Alibaba cash into the mobile app. The information comes from “people familiar with the matter”.
Though details are only rumors at this point, the WSJ says one of its sources peg Yahoo’s investment amount at $20 million. Neither Yahoo nor Snapchat has commented on the rumor. According to the sources, two past investors have also kicked up talk about new investments in the company.
How the investment might play out for the two companies is yet to be seen, but the move could prove fruitful for Yahoo, given Snapchat’s value. These sources went on to confirm the purchase of MessageMe, a rumor that has been circulating in recent time.
One of the sources has claimed MessageMe might go on to become “a new communication tool” for the company, though more specific details on what that means wasn’t provided. Hopefully an official announcement will be coming soon — as always, we’ll update you when we know more.