I tried looking up many online articles and didn't get a satisfying answer.
Ask HN: How does WhatsApp make money?
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Re: Ask HN: How does WhatsApp make money?
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#5The app used to cost €0.89 per year (which I guess was $1 at the time).
I'd be surprised if Facebook had bought WhatsApp looking for revenue. Even if the service is operating at a loss, it's still providing FB the messages (at the very least, their metadata) and personal data of two billion people.
Re: Ask HN: How does WhatsApp make money?
#6My speculation - Facebook might mine the conversation data & sell that to third party/show targeted ads on Facebook.
Re: Ask HN: How does WhatsApp make money?
#7Whatsapp didn't have end-to-end encryption until April 2016. The app used to cost €0.89 per year (which I guess was $1 at the time). I'd be surprised if Facebook had bought WhatsApp looking for revenue. Even if the service is operating at a loss, it's still providing FB the messages (at the very least, their metadata) and personal data of two billion people.
Re: Ask HN: How does WhatsApp make money?
#8Re: Ask HN: How does WhatsApp make money?
#9>b-b-but it's encrypted!
Doesn't matter. They know who you are, because your account is linked to your FB account (either directly or just by matching your phone number). Then you send them your full contact list when you install the app (have you tried using WhatsApp without the Contacts permission?). Then they can see metadata about who you talk to and how often.
Pulling up those advertising profiles, they can add to your profile: for example, if a good portion of the contacts you talk to daily have "interested in cars"/"republican"/"male 25-29" in their profile, there's a good chance you fall into those categories too.
Re: Ask HN: How does WhatsApp make money?
#10I guess indirectly maybe they acquired some more Facebook users although I suppose most people who had whatsapp also already have a FB account.
My guess is that they always wanted to turn it into the western wechat.