Snapchat has added a fun new AI activation for the holidays, with its new "Animate It" Lens now available for paying Snap users. Snapchat's new video AI Lens will enable you to activate an animation in your Snaps via text prompts. So you can ask it to add a cat pawing at your face, and the Lens will give you a custom animation that looks mostly like a cat, but also, kind of like something out of The Polar Express.

"Available for Lens+ subscribers, the Animate It Lens leverages Snap's internally developed AI video generation model to turn your ideas into short, shareable videos in seconds. Whether you want to animate a reaction, dream up a mini-movie, or turn a playful idea into a dynamic clip, Animate It allows you to create motion from pure imagination," Snap explained. It's interesting that this is based on Snap's internal AI video generation model, because thus far, Snapchat has largely relied on external AI tools to power its AI features. My AI, for example, uses large language models from OpenAI and Google to handle text-based queries.

The Strategic Shift from Third-Party to Proprietary AI Models

The addition of its own custom AI model suggests that Snap is working to build its own AI tools, though without significant data infrastructure, it'll be difficult for Snap to go it alone with any AI project. This represents notable strategic shift for a platform that has historically partnered with larger AI providers rather than developing proprietary systems. The question is whether Snap has technical capability and data resources to compete with companies like Meta, Google, and ByteDance that have vastly larger infrastructure investments.

Snap's user base provides substantial data for training AI models—over 400 million daily active users generating billions of images and videos. However, data volume alone doesn't guarantee competitive AI performance. Training sophisticated video generation models requires enormous computational resources, specialized AI research talent, and iterative refinement over extended periods. Companies like Meta and Google spend billions annually on AI infrastructure and talent acquisition. Snap's significantly smaller budget raises questions about whether it can develop truly competitive AI capabilities in-house.

The decision to build proprietary AI despite these limitations suggests strategic concerns about third-party dependency. Relying on OpenAI and Google for core AI features creates vendor lock-in where Snap's product roadmap depends on external companies' priorities and pricing. Building internal capabilities provides more control over feature development, user experience, and economics—assuming the technical execution succeeds. If it doesn't, Snap wastes development resources while falling further behind competitors with superior AI. Learn how AI systems develop to understand the technical and resource challenges Snap faces.

The Uncanny Valley Problem in AI Video Generation

The observation that generated animations look "mostly like a cat, but also, kind of like something out of The Polar Express" captures the uncanny valley problem plaguing current AI video generation. The reference to The Polar Express—a film infamous for unsettling motion-capture animation that looked almost but not quite human—suggests Snap's AI produces outputs that are recognizable but aesthetically off-putting. This is characteristic of AI video models struggling with motion coherence, anatomical accuracy, and physical plausibility.

Current AI video generation faces fundamental technical challenges that text-to-image generation has largely solved. Static images only need spatial coherence—objects should look right in relation to each other within single frame. Video requires temporal coherence—objects must look right across frames, with smooth motion, consistent lighting, and physically plausible dynamics. These requirements are orders of magnitude harder to achieve, which is why AI video generation lags significantly behind image generation in quality.

For Snapchat users, the question is whether "fun and weird" compensates for "not actually good." If AI-generated animations are novelty features users try once then abandon, they don't drive sustained engagement that justifies development investment. If they're compelling enough that users incorporate them into regular Snap creation, they could differentiate Snapchat from competitors. The difference comes down to execution quality—and early descriptions suggesting Polar Express-level uncanniness don't inspire confidence.

Lens+ Subscription Gating Reveals Monetization Strategy

Making the Animate It Lens available exclusively for Lens+ subscribers reveals Snapchat's monetization strategy around AI features. Rather than using AI to drive user growth through free feature access, Snap is using AI to drive subscription revenue by gating advanced features behind paywalls. This follows broader industry patterns where platforms increasingly monetize through subscriptions rather than relying solely on advertising revenue.

The strategic logic makes sense for Snap given its challenging advertising business. The platform has struggled to compete with Meta, Google, and TikTok for advertiser budgets, posting relatively modest revenue growth compared to larger competitors. Subscription revenue provides more predictable, less economically sensitive income stream than advertising. If Snap can convert even small percentage of its 400+ million daily users to paid subscribers, subscription revenue could materially improve financial performance.

However, subscription success requires delivering value that justifies recurring payments. Users won't maintain Lens+ subscriptions for occasional novelty features—they need regular utility that makes Snapchat meaningfully better with subscription than without. Whether AI Lenses provide sufficient sustained value remains questionable, particularly if output quality is merely "fun and weird" rather than genuinely useful or impressive. 

The Evolution from Fixed to Prompt-Based Lens Creation

The new Lens is essentially an expansion of the first video AI Lenses that Snapchat launched back in March, which include custom animations of selected characters or objects that can be added to any clip. In that application, you choose from one of several options—raccoon, fox, spring flowers—and Snap's gen-AI engine will then animate your clip with your chosen addition. So it's less customizable, with your options restricted by certain objects, as opposed to this new variation, which enables you to add in whatever you like, based on your prompt.

This progression from fixed options to prompt-based generation represents significant technical advancement, though likely at cost of output quality consistency. Fixed options enable Snap to carefully tune AI models for specific objects, ensuring raccoons, foxes, and flowers generate reliably and look reasonably good. Prompt-based generation must handle infinite possible inputs, making consistent quality much harder to achieve. This explains why prompt-based outputs might look like Polar Express animations—the model handles wider input range at cost of per-generation quality.

The user experience question is whether flexibility compensates for quality degradation. Users might prefer choosing from ten really good pre-tuned animations over generating unlimited mediocre custom animations. The "paradox of choice" research suggests that too many options can actually reduce satisfaction and usage. If prompt-based Lens creation is frustrating because outputs rarely match expectations, users might prefer the constrained but reliable fixed-option approach.

Competitive Positioning Against TikTok and Instagram Effects

How capable the system is will be interesting to note, again considering Snap's limited AI capacity, but it could be a fun addition that'll help Snap boost engagement over the holidays. The competitive context matters enormously—Snapchat isn't evaluated in isolation but relative to TikTok and Instagram, which offer their own AI-powered effects and filters. If Snap's AI Lenses are noticeably worse than competitors' offerings, they become liability rather than asset regardless of absolute quality.

TikTok in particular has set high bar for AI-powered video effects through its sophisticated recommendation algorithm and extensive effect library. ByteDance's substantial AI investment gives TikTok advantages in developing compelling effects that Snap will struggle to match with more limited resources. Instagram benefits from Meta's massive AI infrastructure and research capabilities, enabling it to deploy sophisticated AI features at scale. Snap's smaller infrastructure puts it at structural disadvantage in AI arms race.

The strategic question is whether Snap should even compete directly in AI feature development or focus resources on areas where it has defensible advantages. Snapchat's strength has historically been intimate friend communication and creative expression tools rather than algorithmic content discovery or cutting-edge AI. Doubling down on what makes Snapchat distinctive—close friend networks, ephemeral messaging, playful creativity—might produce better returns than trying to match competitors' AI capabilities with fraction of their resources.

The Holiday Timing and Engagement Strategy

Launching AI Lenses as holiday feature reveals Snapchat's engagement strategy around key seasonal moments. Holidays drive increased social sharing as people create and share festive content. Novel features timed to holidays can capture attention and drive experimentation that might convert into sustained usage if experiences are positive. The timing also provides natural PR hook for feature announcements that might otherwise receive minimal attention.

However, holiday feature launches face risk that initial novelty-driven usage doesn't translate to sustained engagement after holidays end. If users try Animate It Lens during holiday season out of curiosity but abandon it in January because outputs aren't compelling enough for regular use, the feature fails despite successful holiday activation. The distinction between novelty features that drive temporary engagement spikes and utility features that sustain long-term usage determines whether development investment pays off.

For Snapchat, converting holiday experimentation into sustained Lens+ subscriptions becomes critical success metric. Users might try the feature during free trial periods or while enthusiasm is high, but will they maintain paid subscriptions months later? That depends on whether AI Lenses become regular part of Snap creation workflow or remain occasional novelty. Learn data-driven approaches that help you distinguish between novelty-driven engagement spikes and sustainable feature adoption.

Strategic Implications for Platform AI Development

Snapchat's Animate It Lens represents broader trend where platforms attempt to differentiate through proprietary AI features rather than relying solely on third-party models. The strategic logic is sound—vertical integration provides more control and potentially better economics. The execution challenge is enormous for smaller platforms lacking infrastructure and talent that tech giants possess. Whether Snap can successfully develop competitive AI in-house without those advantages remains highly uncertain.

The marketers who understand these dynamics will make better strategic decisions about which platforms to prioritize and which AI features actually deliver value versus hype. Just because a platform launches AI features doesn't mean those features work well enough to influence user behavior or justify marketing investment. Critical evaluation of actual capability versus announced capability becomes essential skill as platforms race to appear AI-native.

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Snapchat's internally developed AI video Lens signals strategic shift toward proprietary AI despite significant resource constraints. Whether this gambit succeeds depends on execution quality—and early indications suggesting Polar Express-level uncanniness raise questions about whether Snap can compete with better-resourced competitors. The marketers who thrive will be those who evaluate platform AI capabilities critically rather than accepting launch announcements at face value.

Ready to develop the analytical frameworks that help you distinguish between genuinely useful platform features and underbaked AI implementations? Join The Academy of Continuing Education and master the strategic evaluation skills ambitious marketers need to navigate platforms' AI arms race effectively.