Why Facebook Spent $16 Billion on WhatsApp
Facebook is founded on being a monolithic ever-presence. The kind of service that you can assume everyone else uses because duh. But Facebook has been slowly falling out of favor with the kids despite trying to catch up to Twitter's cache with a endless Newsfeed tweaks, and trying to emulate all the hippest new services.
None of that has worked to bring Facebook back to its pre-mobile glory days when it was a site with an ever-growing user-base of teens posting illicit photos of their beer-parties. Instead, it evolved into a place for viral linkbait listicle, engagement statuses, and far more baby photos than users under 30. With
$16 billion dollars is a lot of money, but you can't underestimate what WhatsApp is, what it has, and what it represents. WhatsApp has some 450 million monthly users, and the majority of them use the app every day. That's almost half as many people as the behemoth Facebook itself, and all of them are about to become Facebook users if they weren't already.
And it's the ones who weren't already who are the real get. Many are so young that they've never known Facebook to be cool, and they're also spread across the globe; WhatsApp has plenty of users in the States, sure, but out there in the rest of the world it's even bigger, even rivaling SMS in its ubiquity. That's a lot of people-desirable users-who just turned into Facebook people like it or not.
But it's not just the users. WhatsApp is a solid service. Clean, cross-platform, dead simple to use, and so good at what it does that it can even get away with charging a (very modest) yearly fee. If there's one tech trend that has never gone out of style, it's textual messaging. From AIM to SMS, there's been generation after generation of popular snippet-of-text sending technology, and generation after generation of new initiates picking out a defacto chat channel for the first time. And now Facebook is holding the keys to the best car in the showroom.
If there's one absurdly simple thing that our phones can't do perfectly yet, it's stupid easy messaging, and whoever can lock that up is going to be have control of
the single most important part of a phone