Newsletters
News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
Mobile Tech
Tame your scariest paperwork. Find Out How
Average Rating:
Rate this article:  
Is the WhatsApp Messenger Worth a Billion to Google?
Is the WhatsApp Messenger Worth a Billion to Google?

By Jennifer LeClaire
April 8, 2013 10:19AM

    Bookmark and Share
"Two of Google's biggest competitors, Apple and Facebook, have their own messaging apps," said analyst Greg Sterling of reports that Google is in talks to buy WhatsApp. The WhatsApp messaging client "would presumably become Google Messaging or something similar and be folded in as a native component of Android."
 



What's in an app? Well, if it's WhatsApp, there could be a billion-dollar payoff -- from Google. Google is reportedly in talks to buy WhatsApp for a cool billion bucks.

WhatsApp Messenger is a cross-platform mobile messaging app. The app allows you to exchange messages without having to pay for SMS. WhatsApp Messenger is available for iPhone, BlackBerry, Android, Windows Phone and Nokia.

WhatsApp Messenger uses the same Internet data plan that you use for e-mail and Web browsing, which is why there's no cost for texting through the app. But WhatsApp is more than a messenger. The app also lets you create groups, send unlimited images, voice and audio messages. And it's advertisement free, at least until Google buys it (if Google buys it). WhatsApp charges users a yearly fee of 99 cents after the first year of use.

A Must for Google?

According to news reports, Google and WhatsApp have been in talks for at least a month -- and WhatsApp is pushing the limits on the acquisition price. WhatsApp may have some leverage based on its popularity with consumers. The company said it broke a record on New Year's Eve, receiving 7 billion inbound messages and transmitting 11 billion outbound messages in a single day.

Neither Google nor WhatsApp could be reached for comment. This isn't the first time the rumor mill speculated that Google would by the company. Facebook has also been listed among potential acquirers. But all fingers point to Google as the impending owner of the messaging app.

Greg Sterling, principal analyst at Sterling Market Intelligence, said there are two reasons Google would be interested.

"Two of Google's biggest competitors, Apple and Facebook, have their own messaging apps," Sterling told us. "This would presumably become Google Messaging or something similar and be folded in as a native component of Android," Sterling said. "Gmail messaging hasn't taken off. It's not clear how popular or successful mobile messaging on Google+ is."

What's at Stake

The messaging app market is getting increasingly competitive and it would make sense for Google to enter the fray. Beyond WhatsApp, there are other smaller acquisition targets like Line, WeChat and KakaoTalk. All three have proven they have a place in consumers hearts.

Consider the messaging app acquisition and development scene over the past couple of years. Facebook acquired Beluga in 2011. Samsung debuted a proprietary messaging app called ChatOn in late 2011. Deutsche Telekom invested $7.5 million in Pinger last February. In March 2012, South Korea's dominant mobile carrier bought MadSmart to gets its hands on the messaging app TicToc. Yahoo Japan last October bought a 50 percent stake in Kakao's Japanese subsidiary.

Carriers are feeling the pinch. In fact, according to a research report from Ovum, texting apps like WhatsApp have drained $23 billion in revenue from carriers as of the end of 2012.
 

Tell Us What You Think
Comment:

Name:





 Mobile Tech
1.   Android 'Fake ID' Puts Millions at Risk
2.   FTC Wants Fix for Mobile Cramming
3.   Facebook To Force Use of Messenger
4.   BlackBerry Acquires Secusmart
5.   T-Mobile Calls 'BS' on AT&T Promo


advertisement
Android 'Fake ID' Puts Millions at Risk
Users: stick to apps from Google Play.
Average Rating:
FTC Wants Fix for Mobile Cramming
Overcharges are 'the perfect scam'.
Average Rating:
BlackBerry Acquires Secusmart
German security firm offers street cred.
Average Rating:
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Canadian Government Charges China With Cyberattack
The government of Canada is not happy with China. Canadian officials have accused "a highly sophisticated Chinese state-sponsored actor" of launching a cyberattack on its National Research Council.
 
Researchers Working To Fix Tor Security Exploit
Developers for the Tor privacy browser are scrambling to fix a bug revealed Monday that researchers say could allow hackers, or government surveillance agencies, to track users online.
 
Wall Street Journal Hacked Again
Hacked again. That’s the story at the Wall Street Journal this week as the newspaper reports that the computer systems housing some of its news graphics were breached. Customers not affected -- yet.
 

Enterprise Hardware Spotlight
Apple Updates MacBook Pros, Cuts Prices Up to $100
The popular MacBook Pro laptop line just got an update and a price cut of as much as $100. The MacBook Pro with Retina display now includes faster processors and double the memory.
 
Watson Gets His First Customer Service Gig
Since appearing on Jeopardy, IBM's Watson supercomputer has been making a living using his super-intelligent knowledge base for business verticals. Now, Watson's been hired for his first customer service job.
 
Tablet Giants Apple and Samsung Feel the Heat
When a company saturates its home market with a once-hot product, expect it to pump up efforts elsewhere. Apple, for its part, is now pushing iPads to big corporations and the enterprise market.
 

Mobile Technology Spotlight
Android 'Fake ID' Puts Millions of Users at Risk
Having this fake ID is nothing to brag about, even if you are a minor. The “Fake ID” Android flaw drops malware into smartphone apps. It can steal credit card data and even take over your device.
 
FTC Wants Fix for 'Perfect Scam' of Mobile Cramming
The U.S. Federal Trade Commission has issued new guidelines to curb “mobile cramming,” a troublesome practice that adds unauthorized third-party charges to mobile phone bills.
 
Facebook: You Will Use Messenger, and You Will Like It
Starting this week, Facebook users with Android and iOS phones will be forced to use the separate Messenger app to send Facebook messages. Pending messages will still be visible in the main app.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | CRM Systems | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.