Snap and Time Warner on Monday announced a new content partnership that will see the New York City-based entertainment giant produce exclusive content for Snapchat. Financial details of the deal haven't been disclosed in any official capacity but industry sources recently put its value at approximately $100 million. Time Warner is now expected to leverage its vast portfolio of intellectual properties, as well as associated actors and filmmakers in an effort to produce engaging content for Snap's social media platform, consequently boosting the profile of its own offerings and possibly making money through advertising. Samantha Bee and Ellen DeGeneres have been specifically mentioned by industry sources in the context of the new partnership, with both stars expected to participate in the production of Time Warner's upcoming shows for Snapchat, insiders said.
Time Warner's announcement on the matter notes that the company is making "a significant commitment" to Snap and its emerging service, noting that the newly established partnership will result in a number of Snapchat-only shows that are set to be aired in the next two years. The third largest entertainment conglomerate on the planet stated that it's planning to produce a broad range of content spanning many genres, from comedy to drama. Apart from creating exclusive programming for Snapchat, Time Warner's subsidiaries will also invest more resources in advertising on the media platform in the next two-year period, the company said, specifically mentioning Warner Bros, HBO, and Turner as examples of some of its operations that will increase their presence on Snapchat, both as advertisers and content creators. Snap's shares increased by around three percentage points following the announcement and gave the firm's investors some additional assurances after the social media platform fell to its IPO value last Friday following a disappointing first quarter as a public company.
The Venice, Los Angeles-based service has been pursuing exclusive content partnerships for a while now and has recently signed similar agreements with BBC and ABC, ensuring a steady influx of original programming to its network for the time being. An update on Snap's video endeavors and its commercial performance is expected to follow in the coming weeks.