Snap Inc drives success at the NY stock exchange
Currently one of the hottest technological IPO opportunities, Snap Inc has had a successful first day at the NY stock exchange, with shares rising to 44 percent. The move has made founders Evan Spiegel and Bobby Murphy billionaires worth over $5 billion each. Although not as significant as Bill Gates, Mark Zuckerberg and Jeff Bezos current success, the outcome is similar to other technological founders who have made billions as a result of a rising digital sphere.
However; despite this, Snap Inc's IPO John Colley, Professor of Practice in the Strategy & International Business group and former MD of a FTSE 100 company has said: "The top end valuation reflects high liquidity rather than a great prospect. There is far more cash than opportunities, which means pursuit of long odds risky options such as Snapchat.
Interest rates are such that deposits are actually destroying value. Snapchat is suffering slowing growth, makes substantial losses, and is now competing against established competitors in Facebook and Google. Between them they have almost half the digital advertising market and increasing.”
"Network effects mean they are difficult to dislodge from their strong positions. Will Snap Inc be the next Facebook or Google? Or go the way of LinkedIn, Twitter and Yahoo? All forced to put themselves up for sale having failed to turn users into money.
"Timing is all with IPOs and Snap Inc looks to have got it right. Leaving it longer could see further slowing in user growth. Markets and valuations are at all-time highs. Could there be a better time for Snap or, indeed, a worse time for investors?
Investors cannot even be certain what they are really investing in as they do not get voting rights. In effect Snap's CEO Evan Spiegel and CTO Bobby Murphy have considerable freedom in how to run the business and spend the money - not much corporate governance there."
Snap Inc is now valued at over $30 billion, impressive given the company was only established in 2011, but has taken advantage of the rise in social networking and digitsation, appealing to millennials and corporate investors. However, building on its reputation for disappearing images, Spiegel aims to transform the company’s existing camera features and become famed for its world-class services, believing it is the way in which consumers will communicate in the ongoing future, surpassing traditional messaging services.
To this end, Snap’s creation of sunglasses echoes the efforts of Google, who are creating new embedded software within similar hardware products.
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Intelliwave SiteSense boosts APTIM material tracking
“We’ve been engaged with the APTIM team since early 2019 providing SiteSense, our mobile construction SaaS solution, for their maintenance and construction projects, allowing them to track materials and equipment, and manage inventory.
We have been working with the APTIM team to standardize material tracking processes and procedures, ultimately with the goal of reducing the amount of time spent looking for materials. Industry studies show that better management of materials can lead to a 16% increase in craft labour productivity.
Everyone knows construction is one of the oldest industries but it’s one of the least tech driven comparatively. About 95% of Engineering and Construction data captured goes unused, 13% of working hours are spent looking for data and around 30% of companies have applications that don’t integrate.
With APTIM, we’re looking at early risk detection, through predictive analysis and forecasting of material constraints, integrating with the ecosystem of software platforms and reporting on real-time data with a ‘field-first’ focus – through initiatives like the Digital Foreman. The APTIM team has seen great wins in the field, utilising bar-code technology, to check in thousands of material items quickly compared to manual methods.
There are three key areas when it comes to successful Materials Management in the software sector – culture, technology, and vendor engagement.
Given the state of world affairs, access to data needs to be off site via the cloud to support remote working conditions, providing a ‘single source of truth’ accessed by many parties; the tech sector is always growing, so companies need faster and more reliable access to this cloud data; digital supply chain initiatives engage vendors a lot earlier in the process to drive collaboration and to engage with their clients, which gives more assurance as there is more emphasis on automating data capture.
It’s been a challenging period with the pandemic, particularly for the supply chain. Look what happened in the Suez Canal – things can suddenly impact material costs and availability, and you really have to be more efficient to survive and succeed. Virtual system access can solve some issues and you need to look at data access in a wider net.
Solving problems comes down to better visibility, and proactively solving issues with vendors and enabling construction teams to execute their work. The biggest cause of delays is not being able to provide teams with what they need.
On average 2% of materials are lost or re-ordered, which only factors in the material cost, what is not captured is the duplicated effort of procurement, vendor and shipping costs, all of which have an environmental impact.
As things start to stabilise, APTIM continues to utilize SiteSense to boost efficiencies and solve productivity issues proactively. Integrating with 3D/4D modelling is just the precipice of what we can do. Access to data can help you firm up bids to win work, to make better cost estimates, and AI and ML are the next phase, providing an eco-system of tools.
A key focus for Intelliwave and APTIM is to increase the availability of data, whether it’s creating a data warehouse for visualisations or increasing integrations to provide additional value. We want to move to a more of an enterprise usage phase – up to now it’s been project based – so more people can access data in real time.