Snapchat, a popular video- and photo-sharing service which has raised its valuation from $800 million to $3 to $4 billion, turned down a $1 billion offer from Facebook.
The news came after Snapchat announced it's looking to raise $200 million in a second round of funding, according to the Wall Street Journal. Snapchat is a mobile-messaging service that specializes in snaps, or photos with messages, that disappear within 10 seconds. However, despite the 350 million messages shared per day, the app doesn't really make any money right now.
Still, despite the lack of revenue, its popularity with teens and young adults are making advertisers and marketers extremely interested in the service. Not surprisingly, Facebook also took an interest. Unnamed sources told the WSJ that Facebook chief and founder Mark Zuckerberg approached the startup with a $1 billion offer but was rebuffed by its CEO and founder Evan Spiegel.