WhatsApp Is Inexpensive Growth for Facebook: Wolf

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Feb. 24 (Bloomberg) -- Michael Wolf, founder and managing director at Activate, examines the value of the WhatsApp acquisition for Facebook on Bloomberg Television’s “Bloomberg Surveillance.”

Michael wolff.

Won't they do it they want in the end?

They need to continue to grow users.

Thoughts of people, when facebook only had 15 million users, people said were you going to monetize?

Now with have to do with whatsapp is grow the business.

With only 30 engineers, it doesn't look like that will cost a lot of money to do.

Can they do that without massive changes?

They can continue to grow the business.

The costs are tacking to ash taxing -- taxing to their system.

I am looking for the payout.

Whatsapp has a net income of $450 trillion.

Net income it facebook is five times that.

I what point is this deal become accretive?

I don't know.

That is not have the technology companies are buying other companies.

They are focusing on users.

Users first, then we will monetize.

Identically will see this valued as the way a normal company does a transaction.

Should we look at what yahoo!

Has done?

To look at it in a new light?

Twitter has about the same number of users is valued at $30 million.

The question is how much money are they going to be able to get out of these acquisitions?

It will take a couple of years for each of these businesses to be able to show that growth.

There are very few of these companies, very few that can

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

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