Is Whatsapp sold to Facebook New 2019

In a play to dominate messaging on phones and also the Internet, Facebook has gotten WhatsApp for $19 billion. Is Whatsapp Sold To Facebook: That's a spectacular sum for the five-year old business. Yet WhatsApp has been able to hold its weight versus messaging heavyweights like Twitter (TWTR), Google (GOOG) as well as Microsoft's (MSFT) Skype. WhatsApp has upwards of 450 million users, and it is including an added million individuals on a daily basis.

Is Whatsapp Sold To Facebook<br/>

Is Whatsapp Sold To Facebook


Referring to WhatsApp's soaring growth, Facebook Chief Executive Officer Mark Zuckerberg claimed on a conference call, "No one in the background of the world has done anything like that."

WhatsApp is the most popular messaging application for smart devices, according to OnDevice Research.

Getting WhatsApp will just boost Facebook's currently strong position in the crowded messaging world. Messenger, Facebook's a standalone messaging app for mobile phones, is second just to WhatsApp in its share of the mobile phone market.

Comparable to traditional text messaging, WhatsApp allows individuals to link by means of their mobile phone numbers. However rather than racking up texting costs, WhatsApp sends the actual messages over mobile broadband. That makes WhatsApp particularly inexpensive for connecting with people overseas.

That sort of mobile messaging solutions have come to be hugely preferred, with twice as numerous messages sent out over the mobile Internet than using conventional texts, according to Deloitte. Yet a lot of the messaging sector's profits is still driven by message messaging.

On the conference call, Facebook claimed it is not aiming to drive profits from WhatsApp in the near term, instead concentrating on growth. Zuckerberg claimed he doesn't anticipate attempting to aggressively grow WhatsApp's income up until the service reaches "billions" of customers.

WhatsApp presently charges a dollar a year after giving consumers their very first year of use absolutely free. WhatsApp CEO Jan Koum claimed on the conference call that WhatsApp's company model is already effective.

That suggests Facebook bought WhatsApp to include worth to its existing messaging services, in addition to for the long-lasting capacity of the firm.

Facebook got Instagram for $1 billion in 2012 for similar reasons: As young social media network customers moved towards photo-sharing, Facebook wished to scoop up what could have eventually end up being a big competitor.

Like Instagram, WhatsApp will certainly function as an independent device within Facebook, with all the existing employees can be found in as part of the bargain.

Facebook (FB) claimed it will pay WhatsApp $4 billion in money as well as $12 billion in stock. WhatsApp's creators as well as personnel will be eligible for for one more $3 billion in stock gives to be paid if they remain used by Facebook for 4 years. Koum will additionally join Facebook's board of directors.