Why Facebook bought WhatsApp for $16 Billion Cash

Facebook bought Whatsapp

The world’s Number 1 social networking site just bought WhatsApp’s engaged users, which according to Zuckerberg will be 1 billion people.. but why?

What are the benefits of Facebook buying WhatsApp?

WhatsApp could aid Facebook’s International Growth Strategy

At the heart of this purchase is Facebook’s desire to unite the world on an international level; WhatsApp is the perfect tool to do this. Why? Because surprisingly WhatsApp has a presence in developing countries such as Latin America, India and many areas of Asia which Facebook has not yet tackled, making it the perfect tool for Facebook’s continuing focus on international growth.


Two Thirds of the World without Internet

Facebook’s “Internet.org” campaign with Samsung, Nokia and other large brands aims to make the internet an affordable tool in developing countries worldwide to reach out to “the two thirds of the world not yet connected.” WhatsApps’s presence and reputation in these parts of the world are an opportunity for Facebook to reach out to the users, and with the help of the campaign, push internet to become a global medium. With the internet comes information, and with information comes power. Now the communities of such countries can have a voice which is heard by all – as Zuckerberg points out in the campaign, the internet can help nations “decide what kind of government they want” and for the first time have an opinion.

WhatsApp could help Facebook win back the Youth

Facebook has seen a rapid decline in teenage users over the past year, with young people turning to WhatsApp for a more personal experience which doesn’t broadcast everything to the world in quite the same way. With parents and grandparents of the Facebook Generation joining the Facebook dialogue, the decline in young users is perhaps due to the platform becoming “less cool”.

WhatsApp have a young fan base which will help Facebook understand what the youth of today are looking for in a social platform.

WhatsApp could aid Facebook’s Growth

Zuckerberg predicts that WhatsApp will grow to 3 billion users; 450 million of them were acquired in only four years. This growth is nearly three times faster that Facebook’s – perhaps due to its presence in countries Facebook has not reached yet, or perhaps due to young, dynamic layouts which Facebook does not yet employ. With the announcement of the deal came the news of WhatsApp’s Founder and Chief Executive Jan Koum joining Facebook’s board. There, as Zuckerberg explains in a statement he released, it is intended that he too helps to “shape Facebook’s future as well as WhatsApp’s".

What do you think will come of our world following the union of these two superpowers?