CNN Ends Daily Snapchat Show

Time Warner Inc’s CNN will stop producing its daily show on Snap Inc’s Snapchat app, called the “The Update”, from 2018, the two companies said on Friday.

CNN is ending its daily Snapchat news show, “The Update,” launched just four months ago — after concluding, at least for now, that it couldn’t make money on the initiative from advertising under a revenue-sharing model with Snap.

“Snap and CNN have built a great partnership over the years and our teams have enormous admiration for each other,” the companies said in a joint statement. “We plan to keep working together and mutually decided to hit pause as we explore the best opportunities for doing that.”

CNN began streaming the daily show on Snapchat in August, featuring at least five news stories in each episode from around the world in efforts to attract younger viewers.

CNN was an original content partner for Discover, a Snapchat feature introduced in early 2015 that allows users to watch stories from publishers.

“The Update” was launched under CNN’s content-licensing deal with Snap the companies originally cut for the Discover platform, which is expiring at the end of 2017. Snap has been moving away from licensing content to revenue-sharing agreements, and the two parties are in talks about striking a new arrangement, according to a source familiar with the pact.

Known for its messages that disappear seconds after they are read, Snapchat is wildly popular among millennials, but faces stiff competition from Facebook Inc and its photo-sharing app Instagram.

Snapchat recently unveiled plans for a redesign that will fully separate publisher content from user-generated content, potentially taking from publishers like the CNN of views.

Shares of Snap were down 1.5 percent at $15.15 in its last trading.

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