Mark Zuckerberg

Company to continue to run independently, CEO to take seat on Facebook board of directors

Facebook has announced that it will buy cross-platform messaging service WhatsApp for a total of $16 billion, split between cash and stock. The deal was announced today by Facebook as a definitive agreement, with the messaging service receiving $4 billion in cash and aonther $12 billion in Facebook stock, with the option for another $3 billion in restricted stock units also available to be vested in four years. If for some reason the deal is cancelled due to regulatory issues, Facebook will pay a breakup fee of $2 billion split between cash and stock to Whatsapp.

WhatsApp, which has over 450 million monthly active users, is one of the biggest players in the messaging wars today. Facebook quotes some statistics, stating that WhatsApp is adding one million users to its service every day, with a total message volume on the network approaching that of global SMS traffic.

As was the case with Instagram, WhatsApp will continue to operate as a separate company and keep its branding in tact. Co-founder and CEO Jan Koum will remain at the company, but will also take a seat on the Facebook board of directors. In a post on its company blog, WhatsApp reiterates that nothing will change from a user perspective after the buyout, and the word "partnership" is being regularly thrown around from both companies.

Source: Facebook; WhatsApp

 
There are 99 comments

still1 says:

Holly Crap!!! whatsapp is not worth that much

benthe1 says:

I know right. $16 billion? What's app with that?

sentinelred says:

Lol

Sent via my Verizon Moto X

brendilon says:

Well played.

Ridlah says:

WhatsApp is actually huge on the other side of the world

patfactorx says:

Tech press is not aware that other countries other than America exist

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ScottJ says:

It's not that other countries don't exist. They most certainly do. It's that they don't matter.

Google10 says:

This will turn out well.

jwyche007 says:

UNLIMITED POWER!!!!!!!!!!!!!!!!

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radgatt says:

Hmm. I get the feeling there will be quite a few people that won't like this. Just saying..

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Zig261 says:

90% of the world uses Facebook and i'm sure the majority of WhatsApp users also have a FB account. I don't see any backlash going on with this acquisition.

Now if this is Google who is doing this. Everyone will be up in arms with torches.

How many phone numbers does Facebook now own?

arjen82 says:

All the worlds white pages are jealous...

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pmcizhere says:

90%? What math are you using???

1.23 billion monthly active users/7.145 billion people on the planet = 17.2% of the world.

Pedalbflat says:

Which is still very impressive...

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vpblaze says:

Ha ha 90%.... What world are you living on???

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Ikeman90 says:

I guess you can't blame him for being blissfully ignorant

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sentinelred says:

90%? Do you even math, bro?

Sent via my Verizon Moto X

rookiegenius says:

world population : 7 billions
facebook users: 1.23 billions

He's probably living in his own world lol

cjb44 says:

Well I'm one of the few then that use What's App but doesn't have a facebook account. If I'm forced into Facebook, I'll just drop What's App.

glamrlama says:

Your mathematicalish skills are week. If only yo had a portable device of some type to make you more smartish

Hilman76 says:

Seems like a huge overpay, Nest was 19% of that price and Motorola was only 18%. Interesting that they could have bought ALL of Blackberry for BBM and carved out the junk (most of BB) and saved billions of dollars.

DigiGato says:

Noooo!! I've managed to stay away from FB this long to fall into their nets via a 3rd party deal! This is not fair...

titetanium says:

Same here! Whatsapp gotta go, sigh!

Taz89 says:

Yep, hopefully this news will help me push my friends and family onto hangouts

Posted via Android Central App on nexus 7 (2nd gen)

rookiegenius says:

there are plenty of alternatives out there.

Paola1993 says:

Oh my God. And I'm an atheist.

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Grahaman27 says:

Well. I'm sure he appreciates the capital G.

via N7

Paola1993 says:

He can thank the keyboard

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ryanmtech says:

i lold. +1

Amir47 says:

I ROFLMAOd

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ScottJ says:

Santa starts with a capital too.

arjen82 says:

Hope they can properly integrate WhatsApp without hurting It's strengths. Wonder if this is good news for Hangouts as there are a lot of people out there who hate and distrust anything Facebook (same holds true for Google so maybe another messaging app will grow, BBM?)

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TWO TITANS OF PRIVACY AND SECURITY HAVE MERGED TODAY!

 

Grahaman27 says:

Google and Facebook merged?? Lol

But seriously, i'm ok with it. One less company to keep tabs on. (No pun intended)

via N7

BB_Bmore says:

+1 lol

Mike

brendilon says:

Google doesn't sell your information and has been very consistent in how they treat customer info.
Facebook sells customer info and did so after swearing they would never do so.

LeroyRJR says:

Can almost feel the sarcasm lol

Posted via my outdated Droid RAZR Maxx HD using the Android Central App

/s

Posted via Android Central App using an LG G2.

brendilon says:

Well said. One more reason why I won't be using WhatsApp.

floriyann says:

Nooooooo :((((((( Facebool want to overwhelm us everywhere now

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martinkem says:

this is great news...now just maybe whatsapp would be totally free

lucidlyseen says:

LOL, really? That $1 a year is hurting you that much?

sentinelred says:

I don't know about you, but that whole dollar a year really kills my bank account.

Sent via my Verizon Moto X

I got free lifetime Whatsapp service..dunno what happened to you folks :s

Posted from my TARDIS!

floriyann says:

Ahahahahahahaha your comment just made my night

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Mighty_Red says:

Awful news, FB will most likely ruin it and litter it with ads. Great news for the whatsapp team, though I though they didn't want to sell out? I guess money talks :)

still1 says:

they didnt want to sell for cheap... and this deal is not cheap

thatguy97 says:

and money money money I love money

Sent from my Nexus 7 2013 or iPhone 5

paulw3 says:

Boo hiss. Last thing I wanted to hear. Whatsapp was a great app until this..

Posted via my Motorola Startac

StuartV says:

Nothing will change? They're not going to share their user data between WhatsApp and FB now? That sounds like a change to me.

Glad I'm not using WhatsApp.

Zig261 says:

The thing is they're going to keep as quiet about it as possible.

At least Google doesn't try to hide their data sharing and collecting business as much as I don't like it.

Posted via Android Central App

brendilon says:

Google isn't just open about their policies, they let you go in and trim out specific bits of info.

" nothing will change from a user perspective after the buyout,"
I hope not...I like Whatsapp as it is...without any strange integrations with other software like hangouts and sms.
I get the horrible feeling at some point you'll be forced into having a Facebook account before being able to use Whatsapp.
I can't stand Facebook and what it represents...each to their own and all that ?, lol.

ryanmtech says:

No, Facebook bought Instagram and does not require you to have a Facebook account to use it. There is also no cross-platform advertising of one on the other whatsoever. It just made them work better together if you DO have both.

Why do you people get so up in arms when Facebook or Google buys something? Sheesh. Everything you guys think they're going to do that is so horrible never happens and the two companies involved in the buyouts usually just improve.

brendilon says:

With Google, it's pure paranoia.
Facebook on the other hand previously had a privacy policy that said they would never sell or share your info. Then they changed it completely (and tried to do it quietly). Facebook also makes it very hard to adjust privacy settings and seems to change the method of adjusting them on a regular basis.

Hi Ryan,
If you read what I said I didn't say right now, I said " at some point".
You're entitled to not be concerned if you want, but I'm allowed to be concerned if I want...express you're opinion, but don't reply to my message by using terms like " you people" and "you guys".

El Platanero says:

I don't get the big deal. It's like People think what's app wasn't sharing info. I do agree they could have purchased all of blackberry for much cheaper. BBM is growing and what's app is not going to be as popular in my opinion.

Posted via Android Central App

Quis89 says:

As a user of both whatsapp is my prefered messaging app. Dont see a huge issue with this so long as my experience doesnt change.

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bez54 says:

I agree. The first time a AD pops up or any facefu£k sh1t appears on WhatsApp am uninstalling it. But I bet it will stay the same for a good while yet.

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brendilon says:

Actually, they couldn't have purchased BB. It's an open secret that the canadian government won't let BB be bought by a non-canadian buyer.
Whatsapp has about ten times as many users as BBM does just on Android.

NoNexus says:

Well crud

Ry says:

Makes sense for Facebook. Price is too high though but Facebook values those users.

*Uninstall*
*Enjoys peace and quiet*

yankeesusa says:

Another Facebook linked app that I won't use.

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Troneas says:

great another app they will bloat until it bursts - or worse: fill with ads. downloading telegram ...

tr-1 says:

And people said Nest was expensive LOL

powerboyd says:

Nothing will Change but all your privacy settings....

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Nev says:

What the Hell is a WhatsApp?

Posted via the TARDIS.

Zig261 says:

I assume you live in America right with all the free texting plans around. That's not the case for most of the world. That's why WhatsApp is so big.

Nev says:

Ahhh...gotcha. You are correct.

Posted via the TARDIS.

sher9501 says:

I've got an unlimited plan too (UK), but texting is still old school. WhatsApp is definitely better for the average person, myself included.

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Aj Irawan says:

More like $19 billions now

Posted via Android Central App

bigtank says:

So im guessing this will take over FB Messenger

JasonF says:

Millinials are running from Facebook to messaging programs like whatsapp. No surprise with this purchase though I do distrust Facebook and would rather whatsapp not be a part of the company.

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Joshua Kelly says:

Can Facebook fix their god awful app first? Instagram works great but the Facebook app is the worst.

Posted via Android Central App from my Moto X

WhatsApp has a butt ugly UI.

Posted via Android Central App using an LG G2.

BB_Bmore says:

+1

Mike

brendilon says:

Very true. What's with Messaging platforms and the hideous design? Whatsapp, BBM, Yahoo... yeesh. Hangouts is about as good as I've seen and even that is just kind of "meh".

I don't get it either.
I don't need bubbles or backgrounds or fancy colors. I want the messages to be the focus and clear to read. Surely someone with some design sense can come up with something better.

Posted via Android Central App using an LG G2.

tramsay09 says:

I just deleted my WhatsApp account

i just uninstalled my whatsApp. good bye

Evilnut says:

I'm glad I don't use either.

Posted via Android Central App on my Ebony backed Moto X

MetalMike901 says:

I wouldn't give a dollar for Facebook or Whatsapp! All these billions thrown around in tech lately reminds me of the tech bubble a while back. Its all fun n games until that bubble bursts.

Posted via Android Central App on my white Nexus 4 with StraightTalk

dannyd86 says:

And it is a bubble. Nobody should be thinking otherwise.

When the entire stock market starts to correct from the 5 year inflated boom we've seen nobody will want to hold tech stocks like Facebook. People will sell at any price and put there money in something else. Even Google could take a massive hit.

Posted via Android Central App

aledelcastle says:

so when can i play candy crush within the whatsapp app?

darkoman4 says:

Wow, I guess Viber went for cheap

Mikey47 says:

Maybe someday there will be a Facebook phone!

Posted via Android Central App

Um there has already been - Inq’s Cloud Touch (exclusively released in the UK as far as I know) has been considered one and the HTC First is officially one... Sorry if you're being sarcastic, I can't tell with just text and no obvious clues.

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21plays says:

Nooooo

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Skiffle says:

Whatsapp needs to access your friends list, email addresses and photos. This app will post on your behalf and bombard you with adverts for all types of cr*p you don't want care about or need. You are unable to skip this step, please bend over and let Facebook f*ck you in the arse. Hit like to agree....

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Ketrouci says:

This is ridiculous. Facebook is becoming like Google, I'll be honest I'm not surprised but I'm not happy, I hope it doesn't go through. This is a perfect time to create a new messaging app.

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sher9501 says:

FB is nothing like Google and will never be.

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ACADM says:

There's many a messaging app out there including proper encrypted ones for the security conscious.

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mzanette says:

Good time to sell half my facebook stock

MarkSeven says:

Get ready for an update that turns everything baby blue (-_-)

keith2k1 says:

WOW! That crappy app is not worth 16B... Facebook is the new Skynet

anote3fan says:

I use whatsapp... but as soon as I detect FB trying to do anything with it, I'll wave goodbye to whatsapp