Snap Inc. has cut its ad revenue forecast for 2017 for Snapchat by $30 million due to higher than expected revenue sharing with its partners, according to a report.
The report, from eMarketer said in its latest ad spending forecast on Tuesday that the new ad revenue figure of $770m still represents growth of more than 157 percent from last year.
However, it is smaller than eMarketer’s prior forecast in September, which had predicted more than $800m.
Snap Inc disclosed the revenue sharing details in its SEC filing ahead of this month’s initial public offering.
The US digital advertising market is projected to reach $83bn this year with Facebook’s share of this sector increasing to 20% while Google gets a 41% majority share of the market.