While Zenly has very few users in the US and has a considerable number of users in European countries, it is an incredible European success story. Zenly has been a major inspiration for the upcoming generation of European entrepreneurs and has had a significant impact on the French tech ecosystem. It has made Snap’s reputation in France much more robust. Zenly’s creators have shown their ability to create a social app with billions of users across Europe. So, know the reason behind why Snap shutting down Zenly. You can share your thoughts in the comments below.

Why is Snap Shutting Down Zenly

Recently Snap, the parent company of Snapchat, announced massive layoffs. They have confirmed to retrench 20% of their workforce, almost 1200 employees. The reason is not unknown, as innumerable companies are going through a substantial financial crunch and are shutting down or minimalizing their workforce. The company has added that the workforce’s downsizing would save at least 500 million dollars annually. Snap has also decided to rebalance its business and cut down on its additional costs. Zenly is a social mapping app acquired by Snap five years ago. It had cost the company about 200 million dollars. The entire team of Zenly was dismissed, and the non-competition clauses were removed. It is common for companies to shut down apps and restructure their business plans. Also read, How to Flip The Camera on Snapchat in 2022 [Solved]

Zenly’s Journey With Snap

Zenly was founded in Paris in 2011. It raised 35 million in funding before Snap came into the picture. Zenly is an amazing app that helps you to find your friends on the map and navigate easily. Even after its acquisition from Snap, Zenly worked as a separate entity. Its development team is based in Paris, and you would not find Snapchat’s name anywhere in Zenly’s app or website. A few months ago, Zenly gave a massive update to their users that they include new features in their app. Their users can pin their favorite locations. After this update was released, Zenly’s co-founder and CEO Antoine Martin, announced that he was leaving the company with the CEO of Snapchat. Zenly announced that it would take on Google and Apple with its mapping data and engine in a month. Zenly did not seem to stop, and it became one of Snapchat’s prized possessions. Also read, How to Turn Off Location on Zenly | 2 Ways to Surprise Them! 

Reason Behind the Sudden Shutting Down of Zenly

Earlier this year, Zenly had almost 35 million active users monthly. Hence, despite the popularity, the main reason for pulling down Zenly was Snapchat wanted to concentrate on Snapmap. Snapchat made some significant investments in Zenly in 2017. They doubled the team size but ultimately failed to find a path to meaningful revenue.  According to Snapchat, it has the whole maps or locations covered in Snapchat. They do not have a good flow of funds to support funding Zenly’s growth. Also read, How to Fake Location on Zenly | Fool Them with Location Hacks

Wrapping Up

I know you may feel bad that Zenly will not be in use very soon. It has become common now that apps come and go. But given the current scenario, it is challenging for companies to exist. Hence, apps with similar features may cease to exist. You can find more similar articles in the days to come on our website, Path of EX.


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