Ah now! $16 Bil for Whatsapp

stupid head

Facebook buys WhatsApp messaging service for more than $16 billion

Facebook plans to acquire hit messaging app WhatsApp for $16 billion, in a deal that is said to help accelerate growth and user engagement across both companies, the company announced on Wednesday.

The deal is made up of $4 billion in cash and $12 billion in stock, and will give Facebook access to the 450 million people using the WhatsApp service monthly, with 1 million new signups daily. WhatsApp will also garner Facebook's huge amount of resources, including its large cash backing and infrastructure to grow.

"WhatsApp is on a path to connect 1 billion people," Mark Zuckerburg, founder and CEO of Facebook, said. "The services that reach that milestone are all incredibly valuable. I've known Jan for a long time and I'm excited to partner with him and his team to make the world more open and connected."

In addition to the $16 billion buyout price, upon closing the deal, Facebook will grant $3 billion in stock to WhatsApp employees - making the deal a total of $19 billion. If for some reason the deal were to be canned and not go through, Facebook would have to pay WhatsApp a sizeable breakup fee of $1 billion in cash.

Doing the math, the deal works out to be $40 per WhatsApp user.

The stock market isn't reacting positively to the announcement, with Facebook down 5 per cent in extended trading.

White Heart Loon

Gobble up any competition, they can afford it

stupid head

http://sequoiacapital.tumblr.com/post/77211282835/four-numbers-that-explain-why-facebook-acquired

bop1977

RIP whatsapp. It was nice knowing you.

jaykay74

stupid head wrote: »

http://sequoiacapital.tumblr.com/post/77211282835/four-numbers-that-explain-why-facebook-acquired

Good read. Thanks!

Zascar

Mad Ted, just Mad! So Whatsapp is worth 16 Instagrams? and $35 per active user. Where is the ROI on this? When Facebook has 1bn users I'm not sure why they need an aditional 500m, of which most are already facebook members. I absolutely love whatsapp, but still I prefer to use Facebook messenger if I can - although many people still dont get push notifications on facebook. I don't see why they could not just have built a better whatsapp.

Alternatively, if WhatsApp had a desktop client it would be perfect - and also if it stored its messages in the cloud rather than on the device. Just the other day I heard of a new app called Telegram https://telegram.org/ that does just this. Not sure if it will take off though.

So what's next, facebook will flood whatsapp with ads? Then everyone will leave, and go to something new - like telegram

Here is a list of all the major companies worth less than WhatsApp: http://www.linkedin.com/today/post/article/20140220005553-46951391-all-the-major-companies-worth-less-than-whatsapp?trk=tod-home-art-list-large_0

Khannie

/uninstalls whatsapp

Tzardine

Ha Ha Ha . Lets all ROFL at the guy who turned down 3 BILLION for Snapchat.

Guess who wont be getting a call from Zuckerburg anytime soon. He is going to squash them.

elfy4eva

I saw this, 16bn seems like a large cost. ain't there loads of other instant messaging apps?

Zascar

Khannie wrote: »

/uninstalls whatsapp

Eh, why?

Quin_Dub

Zascar wrote: »

Eh, why?

If they integrate Facebook into WhatsApp I'd stop using it too..

No desire for Facebook to track my IM activity , or to advertise to me or require me to "like" crap so I can chat with friends...

If it stays a stand-alone application then I'll keep using it , but if they leave it separate, then $16B is an utterly ridiculous price (even if they do it's a fairly crazy price)...

JJJJNR

Only reason im on whatsapp is because I closed my FB account...

Tears it'll end in tears...

Zascar

I just don't get it. What are you afraid of exactly?? Being a member of facebook exposes you to what risk that is simply not worth it? Out of the Billion members you think they are going to single you out for what??

It seems to me like some people are cutting off their nose to spite their face. 'Because of some changes I'm going to stop using a service which I find very valuable - thus making it more difficult for people to communicate with me'. Hmmmm

In this link it mentions how the founder had a policy of "No ads, no games, no gimmicks" - I doubt that will be abandoned completely.

Use Ad Block in chrome and you won't see most ads. There is no law you have to click on them anyway..

Mr. G

Very interesting. I'm not surprised Facebook took the move though.

I don't use it really so it doesn't affect me.

Khannie

Zascar wrote: »

Eh, why?

I want nothing to do with facebook tbh. (actually coupled with the annoying "new version available" messages - pain in me face)

Khannie

Zascar wrote: »

I'm going to stop using a service which I find very valuable

Ah, you've made a leap in logic that doesn't exist.

stupid head

White Heart Loon wrote: »

Gobble up any competition, they can afford it

The 4 Bil in cash was 35% of their total cash pile.


WhatsApp reportedly turned down $10 billion offer from Google

The other offer ^^^, jaysus, 19 Bil WAS mad.

stupid head

WhatsApp: The inside story

stupid head

Bye Bye, WhatsApp: Germans Switch To Threema For Privacy Reasons

Mr. G

stupid head wrote: »

Bye Bye, WhatsApp: Germans Switch To Threema For Privacy Reasons

There is a good opportunity here in Ireland I think for such a product. I've met with several people, like those mentioned in that article, that are concerned about their privacy since the NSA revelations.

It certainly makes me feel less confident using Google, along with other American-owned companies. I refuse to use Gmail, OneDrive, Dropbox etc. I wouldn't be of interest to the NSA, but my concern is that you no longer have privacy. It's a big problem now, and something I see that will be as time goes on. I'm moving away from Google Apps because of it. Now that Facebook bought then, that's the tip of the iceberg. Even if they say they're remaining two separate entities, they're still owned by Facebook.

stupid head

Security experts raise flags over WhatsApp

Dude111

If you are concerned about this AND YOU SHOULD BE,there is an alternative!

https://www.telegram.org


NO ADS,SECURE,ETC like Whatsapp used to be!!

Khannie wrote:

I want nothing to do with facebook tbh. (actually coupled with the annoying "new vrsion available" messages - pain in me face)

I dont blame ya!!

That site is a CIA/Info collecting site!!!!! -- THEY ARE QUITE INTRUSIVE!!!!!!!!

stupid head

I see it went down today for 3 hours (ish).

NSA must have been getting jacked in.

Nino Brown

Flashbacks to the AOL - Time Warner deal. Absolute madness!

Rucking_Fetard

Tzardine wrote: »

Ha Ha Ha . Lets all ROFL at the guy who turned down 3 BILLION for Snapchat.

Guess who wont be getting a call from Zuckerburg anytime soon. He is going to squash them.

POS is valued at 10 Billion now.



http://www.bloomberg.com/news/2014-07-30/snapchat-said-in-funding-talks-with-alibaba-at-10-billion-value.html

When is the next tech buble burst, hmm?

Zascar

SnapChat is really shows the divide between young and old - I had it installed and used it for ages, but I just don't get it. However I know loads in their early 20's that dont bother with facebook and only use SnapChat. Clearly I'm too old to understand it haha

jester77

Rucking_Fetard wrote: »

POS is valued at 10 Billion now.

Fok sake, who are these losers using this.

http://www.bloomberg.com/news/2014-07-30/snapchat-said-in-funding-talks-with-alibaba-at-10-billion-value.html

When is the next tech buble burst, hmm?

At least snapchat offers some functionality, the Yo app takes the biscuit in terms of ridiculous sense of worth given what it does.