How WhatsApp make money

We all know that WhatsApp is one of the biggest freeware social networking platforms. Currently, Whatsapp has 1 billion monthly active users. Do you know how WhatsApp make money?

Let's read this article:

WhatsApp was founded in 2009 by Brian Acton and Jan Koum as an alternative to pricey SMS services. The app allows users to upload their contact book and message anyone who has the app installed at no cost.

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Facebook Inc. purchased WhatsApp in February 2014 for $19 billion, and according to the 2014 Facebook Form 10-Q, in the nine months preceding September 30, 2014, WhatsApp generated revenue of $1,289,000. How is WhatsApp making its money?
WhatsApp makes money in a different way, they didn't earn directly from WhatsApp service or any ad promotion.

Let me show you:

More than one billion people are now using Whatsapp every day in the world. Currently, 55 billion messages are being sent per day. 4.5 billion photos are being sent per day. Currently, it supports 60 languages all over the world. It is not like a traditional SMS app, it has much more good features. It is increasing and expanding at every moment. Still, now it is totally free of cost.

Now the story is:

You don't know after buying WhatsApp, Facebook has increased their net growth revenue in a multifold. Facebook knows all about you even you don't know about that information of you, sometimes you forget those small incidents. They have made a large database from WhatsApp. They are able to serve interest-based advertisement now.

Let's talk about it:

• Facebook knows about your personal information.

• Facebook knows about your professional information.

• It knows about your relationship and families.

• It knows what you like or dislike.

• It knows what kind of activities you are doing each and every day sometimes you forget about those activities but Facebook remembers it.

• Even they know about your mental and emotional situation. Sometimes you ignore these things but Facebook does not ignore, it records all these small things in their database system.

• It knows what you want and what you don't want in your daily life.

• It knows where you go when you go and why you go they always follow you (internet location services, group activities and status updating).

• Its ad performance is the best in the world, totally 100% target and interest-based ad they are selling.

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So, the Facebook team is using their WhatsApp database system to grow and helps to achieve their target. Sequoia Capital invested around $8 million in the company, and many other investors are interested in investing in the venture. In India, Reliance Communications has teamed up with WhatsApp for providing a unique scheme for Reliance's prepaid users -- a WhatsApp Plan. So, WhatsApp is making money by tie-ups with popular telecom companies as well.

I have just explained 'How WhatsApp make money?' Hope you guys understand and find this article interesting. 

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