Best Thing I heard today, “DTLA is turning into Brooklyn.”
Comedians in Cars Getting Coffee.
Once you move past the billions, the devil is In the details. Facebook bought WhatsApp for $16 billion in stock and cash with another $3 billion in stock for WhatsApp Employees to vest in four years. Each WhatsApp user is valued at $42 per user at 450 million users.
Through the purchase of WhatsApp Facebook is closer to its next 1 billion mobile users inside the Facebook network. At 450 million they are half way there already.
The founders of WhatsApp and Sequoia, the VC firm, are the big winners with a big payout. Google is left holding a bag of $10 billion looking for the next company to devour.
Who is the loser? Apple, no, people use the App on their iPhone, likewise Samsung’s Andriod. WhatsApp also has a version on Blackberry, and Windowsphone. So phone makers are neutral.
But what about Microsoft?
Remember Skype? Microsoft owns Skype and they are in jeopardy of being the ICQ of the decade. Facebook with WhatsApp will be larger and more dominate than Skype ever was or will be.
That’s the significance of the next 1billion mobile users.