Is WhatsApp the New Facebook?

MCT Campus

MCT Campus

After purchasing WhatsApp for a whopping $19 billion, Facebook is hoping this will prove to be a long-term investment.

WhatsApp is a mobile messaging application that has more than 450 million with more than 1 million users gained each day. About 70% of WhatsApp’s users are active each day, compared to the 62% of Facebook’s users that are active daily, according to CNN.

Subscribing to the app is free, and it only costs 99 cents a year, after the initial free year.

Back in 2012, Facebook bought Instagram for $1 billion, much less than what was paid for WhatsApp.

Facebook may already be over 10 years old and getting rusty, but this new purchase provides a new source of income for the social media company.

Many teenagers are ditching Facebook for its rivals like Snapchat and Kik, so Facebook’s purchase has much to do with WhatsApp joining that group of popular applications. Although, with teens, who have unlimited text messaging, it can be hard for them to a see a point in using WhatsApp. However, it has an ability to connect with others on an international level. Places where Facebook is trying to grow its user base, such as Latin America, Europe, and India, are the same places where WhatsApp’s presence is strong and growing speedily.