WhatsApp Could Be Google’s Next $1 Billion Acquisition

Google may be preparing to acquire popular messaging app WhatsApp. According to rumors, the team at WhatsApp is playing “hardball” with Google, although the search giant could match the rumored request for $1 billion.

WhatsApp could be just the platform Google needs to tie together Google Voice, Google Hangouts, Google Talk, and other disparate messaging services run by the search giant. The move would also allow Google to more closely compete with online competitor Facebook.

Sources close to the acquisition tellDigital Trends that a WhatsApp type service is high on Google’s list of priorities at the moment. Google is rumored to be creating the Google Babble system to bring its services together, and the talent from WhatsApp could help the company reach its goals at a much faster rate.

This wouldn’t be the first time Google has gone after a talented team to help it extend its current and future systems. Last July, the company bought iOS mail app Sparrow to help it extend its social via email capabilities and other services.

Google is believed to have approached the team at WhatsApp in December 2012 to talk about an acquisition. That would put Google’s time period in direct competition with Facebook.

Now available on Android, BlackBerry, Windows Phone, and Apple’s iOS platform, the WhatsApp team has sent more than 18 billion messages as of New Year’s Eve of this year.

Currently, the WhatsApp platform relies on $1 year subscription fees to earn cash. It may be that very lack of typical mobile advertisements that has helped WhatsApp gain such a big following. WhatsApp even allows for the first year of service at no charge.

It is believed that WhatsApp is currently pulling in around $100 million annually. Net 10 years compared to some revenue models actually wouldn’t be a bad deal for Google based on recent industry acquisitions.

Do you think WhatsApp can continue to thrive under Google’s leadership?