The Real Reason Facebook Bought WhatsApp

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Feb. 20 (Bloomberg) –- Bloomberg’s Serena Saitto and Jon Erlichman discuss Facebook’s $19B acquisition of WhatsApp and how Google and Microsoft had also shown interest in the company. They speak to Emily Chang on Bloomberg Television’s “Bloomberg West.” (Source: Bloomberg)

Telephone we know about the interest from google and microsoft -- tell us what we know about the interest from google and microsoft.

There was not really a formal process to sell whatsapp, but the company through the years as it publicized how much users it was gaining, that got approached by other companies.

We learned that google and microsoft tried to buy the company and did not succeed, where facebook it.

The price of facebook paid is probably unbeatable, and i don't know that for sure, but another concern that whatsapp founders might have had is the fact that google and microsoft have their own operating system and maybe would have closed the app that can run on every smartphone.

And facebook is like that too.

The price is like unbeatable.

$19 billion, that is hard to beat.

What do we know about how this deal actually got done?

On the face of it seems like mark zuckerberg shaking hands, not asking advice from anyone else.

Is that what happens?

-- happened?

Clearly there is more involvement than just that.

Mark zuckerberg is very bold.

That has been the headline on his willingness to do this deal.

Very certain on where he wants to position this company.

That leaves him confident enough to try to get these deals done quickly.

In the case of facebook and what they're trying to do and their willingness to say, we can feel -- go beyond just facebook and have mobile communications dominant by owning different platforms, owning instagram.

If you were to compare the strategy of what a microsoft may have been thinking, it's member that microsoft owns skype, which looks pretty reasonable in terms of what they paid versus this deal.

There's a business where they got a consumer end to it, but there's a business aspect for microsoft.

They are able to integrate that into some of their offerings.

They already have a messaging app.

I don't know how serious microsoft would have been.

Mark zuckerberg very serious about growing the mobile communication story of facebook.

Speaking of messaging apps, they have taken away 32 and a half million dollars away from the carriers already, but there are a lot of people making money on this deal.

You cover the venture capitalists tell us about how much sequoia is taking home here, the only investor in whatsapp.

What is fascinating about this company is it has really been under the radar until this deal happened.

Yesterday when the deal was announced, everyone was surprised, especially in the u.s., where the application is not as popular as it is in europe.

Sequoia had silently invested in the company with an initial round of $8 million in 2011. it took home more than $2 billion.

$3.5 billion sequoia is

This text has been automatically generated. It may not be 100% accurate.

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