Facebook buys messaging app WhatsApp.
Facebook has closed an ownership deal with messaging app WhatsApp co- founders Jan Koum and Brian Acton at $19bn in cash and shares.
This being the leading social media’s biggest acquisition to date, selling the messaging app could be the biggest mistake of the billionaires lives. Considering Facebook’s shrinking PC growth, the company is definitely in a quest to capture more mobile audience even though the medium is not Facebook’s DNA. The fear is for Facebook to turn the hottest mobile startup out there to “the next Facebook” may the motives be the same as the ones considered while they purchased instagram.
With 10 billion messages a day the cross-platform smartphone app has grown in both popularity and revenue collection unlike instagram. Most startups get unlucky and fail but no signs have been detected in any case every mobile user wants to have the app for cheaper and faster communication.
The deal totally makes sense to Facebook though why wouldn’t a company like it use its stock currency to buy interesting mobile startups and graft them onto Facebook?
Let us take a leap of faith considering Mark Zukerberg promise to upgrade WhatsApp
and add on users without placing advertisements as a way of generating revenue.