Shares of Snap Inc.
are down 1.8% in Tuesday trading after Facebook Inc.
announced that it had started to launch augmented-reality ads in the core Facebook news feed. The ads are currently in a test phase, and Michael Kors Holdings Ltd.
is the first brand to try them out through a feature that lets users virtually try on sunglasses and then buy them. Snap popularized AR ads through its lenses feature, which lets brands create overlays that users can apply to their photos and videos. Snap shares have fallen 21% over the past 12 months, while Facebook shares have gained 33% and the S&P 500
has climbed 15%.