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4 Reasons Why It’s Good That Facebook bought Whatsapp

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Since the acquisition of Whatsapp by Facebook, there have been various anecdotes that are roaming around in the world. Many people are considering it the end of Whatsapp as we know it while others are getting apprehensive about the data that is transferred.

Surprisingly, I have yet to hear anyone calling it a good thing.

Maybe it is not, but I still feel there are many positives that come out of this. I decided to be the devil’s advocate here and jotted them down below.

You might agree with some, disagree with others and may consider some as simply irrelevant. That is alright. However, if you can somehow come up with a few more reasons like these, that would be interesting.

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1. A service without revenue doesn’t sustain:

How so much ever we may like the free stuff, the truth of life is that nothing is free in this world. And services like these need revenue to sustain. If they are not taking money from you, then they are mooching it off some other way, maybe ads or venture capitalists.

Even companies like Google do not like to keep products that are not profitable (Google reader). If Whatsapp would have continued as it was, how long do you think before it would have simply said, “Sorry, we are done here!” Anyone who has followed technology knows that.

2. Can make bigger plans (like voice calling):

A person who doesn’t know where his next meal will come from cannot think about changing the world. This is true for the technology companies as well. Now, with the backing of Facebook, Whatsapp can have bigger and more ambitious goals.

In the MWC recently, it announced its aim to enter the voice market. This is just the beginning I believe and Whatsapp now has the resources to improve their app even further.

3. Gives new entrepreneurs hope:

Entrepreneurship is not an easy thing. You jump into the unknown hoping your parachute will open up at the right time. If it doesn’t, well, you become one of the companies that could have been great.

As much as gritty most entrepreneurs are, they are humans too with insecurities and doubts. But when a some year old, under 15MB app is valued at $16 billion, it is like a rags to riches story. It is like watching an outsider become a star. It becomes a beacon of hope for the new comers who think that if they can make a good enough product, the magnitude of success can be anything.

Such deals create more entrepreneurs who flock in making new products. While it is true that many of this new blood would be burned, some of them would come up with something revolutionary. This is how the technology field has always grown and with such deals happening, this will continue to happen.

4. Will make competitors work harder:

This deal won’t give Larry Page dreams, it’s for sure. Google Hangouts and Facebook messenger were both fighting with each other on an equal platform. Whatsapp however was on a different platform with people embracing it left, right and centre.

Even its alternatives like Line, Wechat etc. are having a better time than Google Hangouts. With Whatsapp now a part of Facebook, Google will not simply sit and watch. Traditionally, the company responds by creating a great alternative (G+ might not be as successful as Facebook, but is a good alternative and Hangouts is better than Skype in some ways).

Also, companies like Wechat and Line will have added pressure now knowing their biggest competitor has a Godfather now. We might even see some new projects coming up now that people know how valuable this field is.

These are the four reasons I believe this deal is a boon in disguise.

What is your opinion on this?

  1. DpAk says

    Nice article….worth reading.
    Keep up the good work.

  2. sachin says

    great article i love the way u right and explain the reason

    1. Kunal Prakash says

      Thanks Sachin.. Appreciate it.

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