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I think Facebook actually bought465 Million active users....
Later if they linked whatsapp and facebook... Both whatsapp and facebook usage will be increased...
Thank you for your contributions. Please, keep the brainstorming session alive!
My contention, which is no absolute knowledge, is that the acquisition was directly related to Facebook’s main monetization concept, which is advertisement based on user content related metrics & the so-called profile-targeting. Whatsapp is not a standard or useable database with emails and phone numbers, cause without proper opt-in based marketing & explicit user-consent, sending out or displaying unsolicited marketing messages, images or ads will be viewed as offensive and scaring away. It’s would be suicide for both, Whatsapp AND its new endorsing mother brand Facebook.
Whatsapp is a big minefield of user intelligence data (read: customer preferences). I dare to predict that Whatsapp will stay ad-free and free too. Exactly, as happened with Skype, which stayed almost the same after being acquired by Microsoft. Whether the amount paid promises to pay-ff, I don’t know. One thing is sure for Facebook and that is that no other social media giant snapped it away from them. That, in itself is an advantageous pay-off in terms of competition.
What do you think?
The Mathematics of the deal:
WhatsApp currently is in a phase where its making itself indispensible to the user
WhatsApp current user base:450 Million
Adding Daily users:1 Million
Estimated Users after a Year:815 Million
Since, it will become indispensible a nominal fee of1$ will be paid by all. Still we assume only60% pay for it
So Nett Revenue:489 Million $ (Just for a year)
Now FB has paid only4 Bn $ in Cash rest is FB shares & restricted stocks. So Earning of500 Million$ with exponential increase is not a bad deal
Well, Whatsapp was trying to include the calling option to its app. However, it has yet to be seen what Mark thinks about this move because he has a strategic sense and it wont be wasted. However, expert of coventional marketing cant add up the actual amount to what FB invested as any means of return. Although this could be a way of converging texting and social-networking as a single unit. Intriguing indeed.
I beleive Facebook is looking for behaviour search on internet for the users to sell this information to companies.
OH MY GOD - They could have downloaded it for free
facebook feared the influx number of users exceeding facebook as well as the privacy in communication
To Sustain : Social media leadership....
The large number of Facebook users corresponds to a strong gain increased in users whatsapp which is due to income on Facebook
what i know through studying Direct Marketing in Auc that every thing y do in marketing or sales based on database and will be more valuable if this data is targetedand it's exactly whatsapp has.
