Whatsapp

[Alan Calenborne]

I'm new to the forum.
Can someone please tell me how Whatsapp derives an income.
It's a free service and has no advertising?

 

[LCBXX]

Facebook bought WhatsApp for $16bn. Sounds like income to me.

 

[Alan Calenborne]

That's exactly what I mean.
For Facebook to pay that much for Whatsapp, means that they must have excellent returns on investment.
So how do they derive their income?

 

[Fox1]

That's exactly what I mean.
For Facebook to pay that much for Whatsapp, means that they must have excellent returns on investment.
So how do they derive their income?

Mostly from those that happily buy a 12 month registration.

 

[Frikkenator]

That's exactly what I mean.
For Facebook to pay that much for Whatsapp, means that they must have excellent returns on investment.
So how do they derive their income?

You must remember that currently a large user base is a currency of its own. If they can drive some of those users to Facebook they can start generating income.

Facebook also only recently started making money, and Twitter to a large extent still doesn't, but that doesn't stop people from investing in these companies.

 

[Dark Agent]

You must remember that currently a large user base is a currency of its own. If they can drive some of those users to Facebook they can start generating income.

Facebook also only recently started making money, and Twitter to a large extent still doesn't, but that doesn't stop people from investing in these companies.

Twitter does make money. They made $242 Million in the last quarter. They income is base on Advertising, they promote tweets. Fixed fee + per user that follows. The second income is based on data mining, they filter relevant information and sells data to companies(mostly user interest and not user information).

Facebook earning money the past 6 years+.

That's exactly what I mean.
For Facebook to pay that much for Whatsapp, means that they must have excellent returns on investment.
So how do they derive their income?

That what I also want to know. They paid over $40+ per user and will take 40 years to cover it up with the current subscription fee. Also if whatsapp grow 10 folds in next 3 years its does not make sense in a income perspective. My only thoughts is that they going to monitor user behavior and location information which is valuable to anyone. Imagine having access to billion of messages! Hence telegram comes into play! A decent article -> http://mybroadband.co.za/news/software/97431-8-whatsapp-alternatives.html

 

[Chevron]

I'm new to the forum.
Can someone please tell me how Whatsapp derives an income.
It's a free service and has no advertising?

You buy a yearly subscription for R8.

 

[Grubscrew]

I got a lifetime subscription for WhatsApp. Never had to pay for it.

 

[Frikkenator]

Twitter does make money. They made $242 Million in the last quarter. They income is base on Advertising, they promote tweets. Fixed fee + per user that follows. The second income is based on data mining, they filter relevant information and sells data to companies(mostly user interest and not user information).

Facebook earning money the past 6 years+.

I'm talking about real money, less than $1bn annual for a service that big is not enough. And even with that revenue they are still not profitable.

Facebook only broke through $1bn revenue in 2012 and only started making a decent profit last year.

 

[paulcolmer]

Its real simple , the money now is in 'Big Data' , just imagine what they can collect from that .

 

[scudsucker]

Its real simple , the money now is in 'Big Data' , just imagine what they can collect from that .

I ****ing hate 'big data' - every client now wants to collect as much info as they can about every user; but they have zero idesa what to do with that data once got.

All of my clients are following the greedy "big data" model, but with no follow through. They don't understand that users find it intrusive and irritating..