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WhatsApp makes $1/user/year after the first year, and appears to keep users around pretty much forever because it's such a good deal. So that's a revenue that,
by swombat 13y ago
WhatsApp makes $1/user/year after the first year, and appears to keep users around pretty much forever because it's such a good deal.
So that's a revenue that, today, is probably a sizeable fraction of $400m/year. All that with a few dozen employees.
- pjbrunet 13y agoAssuming Google/Apple maintain respective strangleholds, continue to share the wealth, etc. The "app store" craze could fizzle out, nobody knows for sure.
- 001sky 13y agoYou guys are taking this comment to litterally. Sales, marketing, accounting, legal, and financial controllership are going to skyrocket when this company has a revenue stream that is worth NPV=$19B. This is a credit to the company; who like instagram was able to build much value with few FTE's. But building a company "worth money" and building a company "making money" are really different things. This is smart from a founder's perspective, because in a sense all of those other employees would just be dilutive of attention and likely equity. But from an economic perspective, it's jumping the gun a bit to conclude what the steady state economics will be.