The social network Facebook (NASDAQ:FB) has announced that it's buying the popular and rapidly growing smartphone messaging app WhatsApp for $19 billion. The service allows users to send text messages for free as data, circumventing SMS costs imposed by wireless carriers. Adoption of the app is growing at a torrid pace, with the number of users having reached 450 million in the five years since WhatsApp was founded. But will it prove to be worth the amount Facebook paid for it? In the lead story on Thursday's Investor Beat, host Chris Hill and Motley Fool analyst Matt Koppenheffer discuss the deal, and highlight one major bonus to the acquisition for Facebook: keeping WhatsApp out of Google's (NASDAQ:GOOGL) hands.
Feb 20, 2014 at 5:49PM
Full-time host of the Motley Fool Money radio show, MarketFoolery podcast, and other things. Part-time connoisseur of movies, basketball & fine bourbon.
Motley Fool Returns
Stock Advisor S&P 500
Stock Advisor launched in February of 2002. Returns as of 06/06/2020.Join Stock Advisor
Cumulative Growth of a $10,000 Investment in Stock Advisor Calculated by Time-Weighted Return