Snapchat pivots from privacy to publicity

It has a sexting image and a privacy problem, but can the app kill two birds with one stone?

Snapchat, the mobile phone app intended for "view once" picture messaging, has developed into an $860 million company which boasts of processing approximately 200 million images per day since its creation in 2011 by a group of Stanford University students. However, recent developments mean the Snapchat team might have to slightly alter their tactics (if they can fit it in between Winklevoss twin-style lawsuits).

Originally marketed as a method of picture communication which leaves no virtual footprint, Snapchat was promoted on the basis that "snaps" vanished once viewed. The unsurprising (and perhaps intentional) consequence is that it has been widely viewed as a mechanism for teenage "sexting". 

But whereas it was initially claimed that “snaps disappear” once opened, it turns out that all the photos taken using Snapchat are cached deep in users’ Android mobile phones: Richard Hickman, a forensic researcher, developed software that enables Snapchat images to be restored. So now, in addition to every user’s pre-existing ability to screenshot snaps (the app gives the sender a warning if that's happened, but is powerless to prevent it), it appears Snapchat images are barely more secure than any of the other tracks we leave whilst living our online lives. Given second-hand sales of mobile devices, using Snapchat under the false pretence that photos are immediately deleted could have serious consequences, as images intended to be private are handed over to unknown third parties. 

The Electronic Privacy Information Center (EPIC) recently filed a complaint with the Federal Trade Commission over Snapchat’s supposedly “deceptive business practices”. “Despite promising to its users that photos and videos sent via Snapchat will ‘disappear forever’,” the report stated, “Snapchat photos and videos remain available to others even after users are informed that the photos and videos have been deleted.” The EPIC complaint also detailed Snapchat’s FAQ page as stating, “Question: “Is there any way to view an image after the time has expired? Answer: No, snaps disappear after the timer runs out.”

The Snapchat team responded to protests by attempting to retract the idea that Snapchat photos are evanescent: they released a blog post which stated, “If you've ever tried to recover lost data after accidentally deleting a drive…you might know that with the right forensic tools, it's sometimes possible to retrieve data after it has been deleted. So…keep that in mind before putting any state secrets in your ‘selfies’." 

As a result of users’ gradual realisation that snaps are more permanent than initially thought, Snapchat appears to have modified its business strategy and pivoted from secrecy to sociability. For example, the recent modifications to the screenshot process for iOS 7 models mean that a notification is no longer sent at all when the recipient of a snap has taken a screenshot of an image, leaving senders unaware of who is keeping their images handy for a second-look. Unless Snapchat updates its coding to reverse this change, this seems to reinforce the idea that a pivot has occurred.

It appears, however, that Snapchat is not particularly concerned by this progression. Never content with being labelled the sexting app, the Snapchat team, which currently consists of just five people, two of whom are the co-founders Evan Spiegel and Bobby Murphy, are facing the issue of Snapchat’s dwindling ability to guarantee secure photo-messaging by shifting the spotlight to SnapChat’s potential to foster friendships. Spiegel recently commented, “We allow the Snapchat community to enforce its own norms. If you want to play a mean joke, we can’t stop you. But it’s important to look at how people build and maintain friendships. They would gain nothing in friendship by saving an ugly photo and posting it.”

Through the addition of the points system (where points are gained for numbers of snaps sent) and the "Best Friends" feature (which abandons privacy altogether in allowing users to see who their friends Snapchat the most), the Snapchat team have decidedly distanced themselves from their original concept. Though undeniably Snapchat remains a form of “disposable media” when compared with the likes of Facebook and Twitter, these changes illustrate just how difficult it is to truly erase our virtual lives and how SnapChat is gradually adapting to accept that.

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BHS is Theresa May’s big chance to reform capitalism – she’d better take it

Almost everyone is disgusted by the tale of BHS. 

Back in 2013, Theresa May gave a speech that might yet prove significant. In it, she declared: “Believing in free markets doesn’t mean we believe that anything goes.”

Capitalism wasn’t perfect, she continued: 

“Where it’s manifestly failing, where it’s losing public support, where it’s not helping to provide opportunity for all, we have to reform it.”

Three years on and just days into her premiership, May has the chance to be a reformist, thanks to one hell of an example of failing capitalism – BHS. 

The report from the Work and Pensions select committee was damning. Philip Green, the business tycoon, bought BHS and took more out than he put in. In a difficult environment, and without new investment, it began to bleed money. Green’s prize became a liability, and by 2014 he was desperate to get rid of it. He found a willing buyer, Paul Sutton, but the buyer had previously been convicted of fraud. So he sold it to Sutton’s former driver instead, for a quid. Yes, you read that right. He sold it to a crook’s driver for a quid.

This might all sound like a ludicrous but entertaining deal, if it wasn’t for the thousands of hapless BHS workers involved. One year later, the business collapsed, along with their job prospects. Not only that, but Green’s lack of attention to the pension fund meant their dreams of a comfortable retirement were now in jeopardy. 

The report called BHS “the unacceptable face of capitalism”. It concluded: 

"The truth is that a large proportion of those who have got rich or richer off the back of BHS are to blame. Sir Philip Green, Dominic Chappell and their respective directors, advisers and hangers-on are all culpable. 

“The tragedy is that those who have lost out are the ordinary employees and pensioners.”

May appears to agree. Her spokeswoman told journalists the PM would “look carefully” at policies to tackle “corporate irresponsibility”. 

She should take the opportunity.

Attempts to reshape capitalism are almost always blunted in practice. Corporations can make threats of their own. Think of Google’s sweetheart tax deals, banks’ excessive pay. Each time politicians tried to clamp down, there were threats of moving overseas. If the economy weakens in response to Brexit, the power to call the shots should tip more towards these companies. 

But this time, there will be few defenders of the BHS approach.

Firstly, the report's revelations about corporate governance damage many well-known brands, which are tarnished by association. Financial services firms will be just as keen as the public to avoid another BHS. Simon Walker, director general of the Institute of Directors, said that the circumstances of the collapse of BHS were “a blight on the reputation of British business”.

Secondly, the pensions issue will not go away. Neglected by Green until it was too late, the £571m hole in the BHS pension finances is extreme. But Tom McPhail from pensions firm Hargreaves Lansdown has warned there are thousands of other defined benefit schemes struggling with deficits. In the light of BHS, May has an opportunity to take an otherwise dusty issue – protections for workplace pensions - and place it top of the agenda. 

Thirdly, the BHS scandal is wreathed in the kind of opaque company structures loathed by voters on the left and right alike. The report found the Green family used private, offshore companies to direct the flow of money away from BHS, which made it in turn hard to investigate. The report stated: “These arrangements were designed to reduce tax bills. They have also had the effect of reducing levels of corporate transparency.”

BHS may have failed as a company, but its demise has succeeded in uniting the left and right. Trade unionists want more protection for workers; City boys are worried about their reputation; patriots mourn the death of a proud British company. May has a mandate to clean up capitalism - she should seize it.