Facebook acquired WhatsApp in February 2014 for $19 billion, the largest acquisition in Facebook's history. WhatsApp was founded in 2009 and had 55 employees and over 450 million active users when acquired. The acquisition helped Facebook gain entry into emerging mobile markets and diversify its services while WhatsApp continued its vision of making communications available worldwide.
2. Acquisition details
Date : 18th February 2014
Acquirer company : Facebook inc
Acquiree company : WhatsApp inc
Acquisition amount : $19 billion
It includes
- $ 4 billion in cash
- $ 12 billion worth of Facebook shares
- $ 3 billion in restricted stock units
3. WhatsApp inc details
Founded : 24th February 2009
Head Quarter : Mountain View, California
Founder : Jan koum and Brain Acton
Employee : 55
Services : text messaging, users can send each other
images, video, and audio media messages as well as their
location using integrated mapping features.
Vision : lets make WhatsApp available to everyone
in the world
6. WhatsApp-SWOT Analysis
Strengths
Loyal customers
Market share leadership
Group Chat
Available for all platforms
No need to remember PINs
and Usernames
No need to Login/LogOut
Free voice calls
Weakness
Not diversified, because
other applications offers the
same service and also
function as social media
Only works with a data plan
or wifi
Opportunities
Advanced technology
Recognized application
Modernization of people
Increased demand for smartphones
Threats
Competitors like Wechat, Skype,
Line
Similar applications and free
8. Why facebook press like button on
whatsApp
Phenomenal growth
Stronghold in mobile market
Facebook was getting old
WhatApp getting hotter
Technical power
FB massenger losses its grip
9. Benefits enjoy by Facebook
Entry into emerging market
Keeps the Apps out of the hand of rival like google
Benefits from better integration
Diversify with a broad based of mobile servises
10. Conclusion
WhatsApp Vision : lets make WhatsApp
available to everyone in the world
Facebook mission : make the world more open and
connected & built a multi sided platform(MSP) that
serves different customer segment with different
proposition.
WhatsApp will help Facebook do this by continuing to
develop a service that people around the world love to
use every day.
11. References
http://en.wikipedia.org/wiki/WhatsApp
http://en.wikipedia.org/wiki/Facebook
Forbes: The World's Billionaires - Jan Koum (http:/ /
www. forbes. com/ profile/ jan-koum/ ) March 2014
Forbes: The World's Billionaires - Brian Acton (http:/ /
www. forbes. com/ profile/ brian-acton/ ) March 2014
http://finance.yahoo.com
http://WhatsApp.com
http//google.co.in
http://slideshare.net