How does Whatsapp make money?

Asked 04-Jan-2018
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Whatsapp is a free messaging app that millions of people around the world have used since its launch in 2009. With over 2 billion active users in 180 countries, it has become one of the most popular social networking applications in the world. However, unlike other social media apps, WhatsApp has always been completely free to use, leading many people to wonder how it makes money. In this article, we will explore the ways in which WhatsApp generates revenue.

  1. Subscription fees: Before being acquired by Facebook in 2014, WhatsApp used to charge users an annual subscription fee of $0.99. This model was phased out after the acquisition, and the app has since been completely free to use.
  2. Business accounts: In recent years, WhatsApp has started offering business accounts to companies. These accounts allow businesses to communicate with customers directly through the app. While small businesses can use WhatsApp for free, larger businesses must pay a fee to access certain features.
  3. Advertising: Currently, WhatsApp does not show any ads to its users. This is because the app's founders, Jan Koum and Brian Acton, were staunchly opposed to using ads to generate revenue. However, Facebook, which now owns WhatsApp, has been exploring ways to integrate ads into the app in the future.
  4. Data sharing: In 2016, WhatsApp announced that it would begin sharing user data with Facebook. This move was controversial, as many users were concerned about their privacy. While WhatsApp still maintains that it does not show ads to its users, Facebook can use the data to improve its ad targeting on other platforms.
  5. Payment services: In some countries, such as India, WhatsApp has started offering payment services to users. This allows users to send and receive money through the app. While the service is currently free, it is possible that WhatsApp may charge fees in the future.

In conclusion, while WhatsApp does not currently generate revenue through ads or subscription fees, the app does have plans to monetize in the future through business accounts, data sharing, and payment services.

How does Whatsapp make money