WhatsApp Shows Zuckerberg's Leadership: Kirkpatrick

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Feb. 20 (Bloomberg) -- Bloomberg Contributing Editor David Kirkpatrick examines Facebook’s $19 billion purchase of mobile message app WhattsApp on Bloomberg Television’s “Bloomberg Surveillance.”

Zuckerberg.

Pre-k's i have it here on my iphone.

I'm surprised you do not have it because that is when people start using this, when they are outside the u.s. for americans.

What was the question again?

I know you're tired.

What is the distinction for mr.

Zuckerberg on this?

What is the why?

The most interesting thing i have not heard talk about yet is the sheer aggressiveness that he continues to show.

As a leader, as a determined leader to keep the service in front at all costs with a long- term vision that he is known for, that i have always talked about, i think this shows that he is willing to pay whatever it takes to keep on the cutting edge of what is going to be important down the road, and i think actually despite the shocking price that everyone reacted to when they first heard it, it actually begins to make more and more sense when you think about it.

$11 billion in cash, no long- term debt, has full positive, $2 billion a year, $3 billion a year, cash flow positive.

This is the critical thing, folks.

I went to a net analysis, and my question to you, david -- people are looking to the future discounting the value.

Ego to the future, seven years arbitrarily, and you pull but that value, facebook and the others are not playing with the matthew and i are used to.

They're not discounting at 3% or even 7%, a lofty number, they have got a much higher number which makes this transaction makes sense.

At negative the nature -- i think it is the nature of the internet.

If you get the right service, the amount of money you can make it spectacular over the long term.

And it is not necessarily important even to look at how much whatsapp will make -- it is a channel that can lead and feed to a lot of other facebook services where they may have a far better margin.

It is also just a way of keeping in front of the switches -- all the people of the planet.

I want to say this is the group of users that zuckerberg wants -- everybody.

He wants to own everybody.

Instagram, all right -- i don't know phone is the right word, by the way.

He is presenting his turf and for filling his vision, which is to be a platform for vacations and sharing for everyone -- for communications and sharing for everyone who lives.

He has a defensive element because let's face it, google wanted this, yahoo!

Was trying to talk to them, too.

The thing about zuckerberg, he started hanging out with the two years ago, took them to dinner, "the times" said how many times they went walking above the hill in silicon valley.

I have it on my phone.

Did i think it would sell for $90 billion?

-- $19 billion?

David, didn't simply make a new rulebook of getting a bunch of -- didn't simply make a new rulebook of getting out of front of each other, apple and samsung and others?

I think there has been a new game plan for a while.

Yvon microsoft paid $4 billion plus for skype, people were like oh, that is a lot of money.

I do not think it needs to be a new game theory.

People have already recognized the scale of opportunity on the internet is almost unlimited if you can have the right services and go to a massive scale, especially at a global business.

By the way, i want to throw in another idea.

Wechat, another service very similar to whatsapp, coming out of china, shenzhen-based.

That service has roughly this amount of global users even though most of them are in china, 40 $50 million plus.

We will go back to david kirkpatrick.

We will go beneath the headlines of whatsapp and facebook and give you a little more on "bloomberg surveillance." and are toward her question of the day, actually.

What's your take on facebook buying whatsapp?

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

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