I knew about FriendFeed. I know about WhatsApp. Causes. But I didn’t have even an inkling that Facebook also owns Instagram. Whoa, I feel dumb. I kinda like Instagram, but what I don’t like is giving Facebook any more information about my life and my preferences than it already harvests (which is a lot – I’m a prolific poster). That’s why I don’t use any of the other FB apps.
On the topic of how Facebook was able to pay $22B for WhatsApp – or anything. TBreak says it was easy because Facebook can print its own money. Here’s how that works:
So how exactly is Facebook going to pay 22 billion dollars? The same way they acquired Instagram. Facebook is blessed with the ability to print its own money. Before you all get really excited and start breaking out your printers to try and print some money – I mean “shares”. Facebook intends to foot the bill using a mixture of hard cold cash and Facebook stocks. It’s because the latter has risen in value that the acquisition is now 22 billion dollars. Around $5 billion and nearly 200 million shares of Class A common stock will go to WhatsApp shareholders whilst WhatsApp employees (there are only 55 of them) will have to split 46 million shares of restricted stock units between themselves.