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Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

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Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#121
post #64

Earlier quoted context omitted.

Imagine how useful it would be if when there is a notification about a friend on Facebook, you could peek it by swiping on the notification in the android drawer like you can with texts, without entering the Facebook app. Nope. Engineers are dedicated there to increasing other things than the utility of the app. Interests aren't aligned with the users. Same with removing chronological feeds. Turn things more and more…

The most frustrating change for me was FB (or Messenger later) used to send me an email when I received a message, with the message content inside the email. A few years ago they removed the content from the email and forced me to log into FB or Messenger to see the message. It's extremely user hostile.

Not to defend FB on this but I can see them doing this defensively. I've seen doctors offices using FB to keep patients updated with their activities (free 'Healthy Eating' seminar), which has unintentionally been used to sent messages like 'Hey Doc needs to reschedule your colonoscopy appointment'. I'm sure FB doesn't want to get involved with indirect HIPAA violations, even if the fault lies elsewhere.

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#123
post #64
post #57

I've had a tremendous amount of respect for Mark Zuckerberg as a leader, and have gone out of my way to defend him in the past ( https://news.ycombinator.com/item?id=17128369 ). I always envisioned whatsapp as a defensive purchase that would stay true to its initial vision (perhaps being used to prop up their other products in an unintrusive manner). But this article makes me realize Mark is s a one-trick advertising…

Imagine how useful it would be if when there is a notification about a friend on Facebook, you could peek it by swiping on the notification in the android drawer like you can with texts, without entering the Facebook app. Nope. Engineers are dedicated there to increasing other things than the utility of the app. Interests aren't aligned with the users. Same with removing chronological feeds. Turn things more and more…

What do you mean by peeking at the notification?

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#124
post #98

Earlier quoted context omitted.

That doesn't scale nearly to the $20 billion they were bought at. Yelp, which has a similar business model to what you quoted, and is more essential to businesses than WhatsApp, only has a market cap of $3.6 billion.

I'm not sure you understand how popular Whatsapp is outside the US. No one in my country has heard of Yelp (201 million population). Everyone uses Whatsapp daily. Whatsapp has 1.5 billion active users.

Part of the problem is that such customers are not as valuable as U.S. customers :(

You see it on the ads side as well, ads to U.S. or European customers can pay 10 times as much as an ad to a Latin American.

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#125
I have a question that the article doesn’t answer. If the original founders left because of disagreements on advertising as the monetization model for WhatsApp, are they still holding on to Facebook stock for their $3 billion and $9 billion net worth (respectively)? Or have they sold those since those shares are valued because of the advertising that Facebook pushes? The answer to this would say a lot about their claimed commitment to privacy and their stance against ads.

My next point is a prediction. WhatsApp will remove end to end encryption as the default very soon. With Facebook wanting to grow its revenues and profits (like most other companies), this is too attractive to let it stay as it has been for the last few years. At least some WhatsApp employees seem to have some kind of a moral compass on this topic, and I’d expect several of them to leave when this change is announced later this year or early next year.

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#126

> When Mr. Acton departed Facebook, he forfeited about $900 million in potential stock awards, according to people familiar with the matter. Mr. Koum is expected to officially depart in mid-August, in which case he would leave behind more than two million unvested shares worth about $400 million at Facebook’s current stock price. Both men would have received all their remaining shares had they stayed until this Novem…

Giving up $400 mil for 3 months? I mean I know they're loaded either way but come on...

At some point don't you think you just have enough? What's another $400 million in the bank at that point? I mean maybe you could put that towards causes you believe in, but that's kind of the only argument I see for staying.

The definition of being rich in my mind is the very concept of being able to walk away from that kind of money for your own sanity.

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#127

Earlier quoted context omitted.

Maybe I'm just not creative enough, but what is a better alternative? Let's say you have a subscriber model, but than what kind of world will it be where only the wealthy have access to these communication technologies and access to social information. Or you have a hybrid ad model with the ability to opt out by paying some fee. Than what kind of world will that be when privacy is a luxury item limited to how much yo…

In the past the function of the "phone company" was a paid for service which provided for your communication needs. You didn't have to listen to ads before you could talk to your friends but you did occasionally get unwanted calls. This medium reached people rich and poor, all around the world. The challenge here is greed. One of the interesting topics in economics is the ability to subvert the supply-demand curve by…

I don’t know how old you are, but phone calls were really expensive in the decades before 2000. It’s not something low income people could afford to do very often.

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#129
post #82

Earlier quoted context omitted.

Facebook ads genuinely add value though. 78% of randomly polled US consumers discovered a new product that interested them on Facebook: https://image.slidesharecdn.com/internettrendsreport2018-180... (From Mary Meeker's 2018 report).

Just because someone is convinced to part with their money does not mean they meaningfully added value to their life. Certainly generates value for Facebook and retail, though.

Ah, yes, because we brilliant hacker news readers know that the average person is too stupid to know what things they should buy or not buy.

Re: Behind the Messy, Expensive Split Between Facebook and WhatsApp’s Founders

#130

Earlier quoted context omitted.

Giving up $400 mil for 3 months? I mean I know they're loaded either way but come on...

At some point don't you think you just have enough? What's another $400 million in the bank at that point? I mean maybe you could put that towards causes you believe in, but that's kind of the only argument I see for staying. The definition of being rich in my mind is the very concept of being able to walk away from that kind of money for your own sanity.

$400 million could help a lot of sick and hungry people. I'd dig ditches by hand for 3 months to be able to give that money to Doctors Without Borders.
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