Deals
Facebook $22 Billion WhatsApp Deal Buys $10 Million in Sales
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The numbers are in for Facebook Inc.’s acquisition of mobile-messaging application WhatsApp Inc.: The social network paid $22 billion for a startup that generated $10.2 million in revenue last year.
In a regulatory filing yesterday, Facebook disclosed WhatsApp’s financial results for 2012 and 2013. The messaging service, which reached 400 million active users in December, generated less than 3 cents in revenue for each one last year. By comparison, Facebook paid $55 per user when it acquired the company. WhatsApp’s net loss was $138.1 million for 2013.