Bigger Picture: Snapchat Value Hits £10bn

The photo-messaging app Snapchat could be worth £10bn ($15bn) in a new investment deal.

A source told the AFP news agency that China's biggest e-commerce company, Alibaba, is putting £140m ($200m) into Snapchat.

Although the scale of the investment suggests Snapchat is worth £10bn ($15bn), that is less than the company was valuing itself just a month ago.

Snapchat was developed by Evan Spiegel, who turned down a £2bn ($3bn) takeover offer from Facebook (NasdaqGS: FB - news) in 2013.

Bloomberg reported that Spiegel declined to comment on the deal, but quoted him as saying: "We are famous for not talking about the future."

Snapchat users can send photos and videos which self-destruct after a few seconds.

Advertisers are attracted to the app because its users are younger than many other networks.

The app has now launched a Discover service, with an edition from Sky News and Sky Sports every day tailored specifically for the platform.

Alibaba was founded by Jack MA in 1999 and is seeking to expand beyond its traditional business.

It was floated on the New York Stock Exchange in September, and valued then at £16bn ($25bn), making it the biggest initial public offering (IPO) in history.