Facebook shockingly surprised the world!
Have you heard that Facebook took over WhatsApp for $19 billion? Yes, it was such a bold move!
Facebook took over the text messaging app with 1/10 of its market value. This purchase is almost doubling Google’s bid. If you believe this was a stupid decision then you might think again. It is worth a staggering amount to buy. Facebook CEO Mark Zuckerberg’s big decision turned the world’s head.
1. What Did Facebook Pay for Whatsapp?
- A. $19 billion
- B. $12 billion
- C. $16 billion
- D. $20 billion
In a conference call, Mark said about the WhatsApp’s growth that, “No one in the history of the world has done anything like that.”
Facebook’s chief executive Mark explained why he bought the WhatsApp-
“Our mission is to make the world more open and connected. We do this by building services that help people share any type of content with any group of people they want. WhatsApp will help us do this by continuing to develop a service that people around the world love to use every day.”
Facebook is one of the fastest-growing companies in history whereas WhatsApp growth is not stopping from gobbling up users messaging. Facebook CEO decided to buy WhatsApp so that it won’t conquer Facebook. Instead, Facebook wanted to secure its place.
WhatsApp becomes one of the competitors for Facebook so he wants to add the value to WhatsApp by purchasing it. Mark Knows that the growth of WhatsApp may cause hurdles for Facebook’s market value.
Whatsapp has 70 % of active users every day. It holds 450 million active users that means there are 1 million active users every month which is higher than Facebook, whereas Facebook has 1.23 million users. There are 500 million WhatsApp users who share pictures that show it surpassed Facebook.
Why WhatsApp Becomes Facebook’s Best Purchase?
- To cut off the competition.
- Facebook acquired WhatsApp because of user growth.
- Whatsapp can be a fuel to Facebook’s growth in the field of developing markets. Facebook can easily connect with WhatsApp mobile users and Facebook wants to reach the places where network connectivity is sparse.
- Zuckerberg’s mastermind plan is to spread internet access to ⅔ of the world not yet online.
- Whatsapp will be the key to gain more profit. Facebook is focusing on the future, as it will be reaching billions worldwide and it will find the right way to cash in.
- Facebook’s acquisition of WhatsApp (the most globally diverse messaging service) helps to run its operation independently.