Snapchat (Snap Inc.)
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What actually happened atSnapchat (Snap Inc.)

Snapchat launched with three fraternity brothers, but the one who says he thought of disappearing photos was locked out before it took off — and it cost the company $157.5 million to settle it.

First workspring 2011
FoundedJuly 2011
OriginStanford, California (later Los Angeles / Venice, California)
StatusPublic company (NYSE: SNAP) since March 2017; Evan Spiegel is CEO with founder voting control.
Sources6 items
On the record

Who invented Snapchat — and was Reggie Brown a co-founder?

The idea, the name, and the logo were his; he was a co-founder unfairly removed before the payoff.

Reggie Brown, 2017 · 1 source

They argued Brown had no equity and did not build the product or company — though they ultimately settled and acknowledged his role in the idea and name.

Evan Spiegel and Bobby Murphy (initial position), 2013 · 1 source
This answer rests on
Reggie Brown
Disputed Founder · statement · 2017
Evan Spiegel
Founder · statement · 2013
Reporting & filings
Documents cited · 2 items
The people

Who was actually there, and when

Evan Spiegel
Founder2011 — later
No account

Co-founder and CEO; drove the product and business and has led Snap since. Central figure in the decision to remove Reggie Brown.

Bobby Murphy
Founder2011 — present
No account

Co-founder and CTO; built the original app. Recruited by Spiegel to code the product.

Reggie Brown
Disputed Founder2011 — 2011
Invited

Says he conceived the disappearing-photos concept, coined the name, and designed the ghost logo. Fell out with Spiegel and Murphy in August 2011 and was pushed out with no equity; later sued and settled.

Jeremy Liew
Investor2012 — present
No account

Lightspeed partner; Snapchat's first institutional investor.

Mitch Lasky
Investor2013 — present
No account

Benchmark partner who led an early venture round and served on the board.

0 of 5 have put their version on the record.

The money

Who funded it, and who bought it

Lightspeed Venture Partners
Lightspeed Venture Partners
Seed lead · ~$485K · 2012, board seat
Benchmark
Benchmark
Series A lead · 2013, board seat
Timeline

What happened, in order

20114 events · 2 contested
Full year

The disappearing-photos idea

Contested · 2 accounts

Three Stanford friends — Spiegel, Murphy, and Brown — were involved at the start in 2011. Brown was cut out in August 2011, before Picaboo became Snapchat, with no equity. Brown sued in 2013; the case settled in 2014 for $157.5M with a public acknowledgment of his contribution. Spiegel and Murphy built and led the company that succeeded.

Unresolved: Whether 'inventing the idea' makes Brown a co-founder of the company that Spiegel and Murphy built.

Snapchat paid third cofounder $158 million, IPO filing reveals
Evan Spiegel — Biography
Jul

Picaboo launches

The app launches as 'Picaboo' in July 2011, built by the three friends.

Snap Inc.
Aug

Reggie Brown is pushed out

Contested · 2 accounts

Three Stanford friends — Spiegel, Murphy, and Brown — were involved at the start in 2011. Brown was cut out in August 2011, before Picaboo became Snapchat, with no equity. Brown sued in 2013; the case settled in 2014 for $157.5M with a public acknowledgment of his contribution. Spiegel and Murphy built and led the company that succeeded.

Unresolved: Whether 'inventing the idea' makes Brown a co-founder of the company that Spiegel and Murphy built.

Snapchat paid third cofounder $158 million, IPO filing reveals
Spiegel & Murphy Say Alleged Snapchat Co-Founder Never Had Equity
Sep

Picaboo becomes Snapchat

After a trademark issue, the app is relaunched as Snapchat. It begins its rapid growth among younger users.

Snap Inc.
20121 event
Full year

Lightspeed makes the first institutional bet

Lightspeed's Jeremy Liew leads Snapchat's first institutional round, an early validation as usage explodes.

Snap Inc.
20132 events · 2 contested
Feb

Reggie Brown sues

Contested · 2 accounts

Three Stanford friends — Spiegel, Murphy, and Brown — were involved at the start in 2011. Brown was cut out in August 2011, before Picaboo became Snapchat, with no equity. Brown sued in 2013; the case settled in 2014 for $157.5M with a public acknowledgment of his contribution. Spiegel and Murphy built and led the company that succeeded.

Unresolved: Whether 'inventing the idea' makes Brown a co-founder of the company that Spiegel and Murphy built.

Spiegel & Murphy Say Alleged Snapchat Co-Founder Never Had Equity
Snapchat paid third cofounder $158 million, IPO filing reveals
Feb

Reggie Brown's claim

Claim — not established history

That he came up with the disappearing-photos concept, the Snapchat name, and the ghost logo, and was therefore a co-founder wrongfully excluded.

Claimed by Reggie Brown, 2013
Response — Evan Spiegel and Bobby Murphy

They initially argued Brown 'never had equity' and contributed little of substance — but ultimately settled for $157.5M and publicly acknowledged his contribution to the idea and the name.

Partially resolved
Snapchat paid third cofounder $158 million, IPO filing reveals
20141 event · 1 contested
Sep

$157.5M settlement

Contested · 2 accounts

Three Stanford friends — Spiegel, Murphy, and Brown — were involved at the start in 2011. Brown was cut out in August 2011, before Picaboo became Snapchat, with no equity. Brown sued in 2013; the case settled in 2014 for $157.5M with a public acknowledgment of his contribution. Spiegel and Murphy built and led the company that succeeded.

Unresolved: Whether 'inventing the idea' makes Brown a co-founder of the company that Spiegel and Murphy built.

Snapchat paid third cofounder $158 million, IPO filing reveals
Snapchat paid Reggie Brown $157.5M to settle his 'ousted founder' lawsuit
20171 event
Mar

Snap Inc. goes public (NYSE: SNAP)

Snap's IPO — with non-voting public shares — reveals the $157.5M paid to Brown, putting the founding dispute in the official record.

Snap Inc. Form S-1
Snapchat paid third cofounder $158 million, IPO filing reveals
Where are they now

The beginning reads differently once you know the end

Evan Spiegel

CEO with control; among the youngest self-made billionaires.

Bobby Murphy

CTO; co-controls the company.

Reggie Brown

Pushed out in 2011; received $157.5M in 2014 with public acknowledgment; largely private since.