How Whatsapp Makes Money without any Advertisements, its Revenue Source ?

How Whatsapp Makes Money without any Advertisements, its Revenue Source ?

Ever wondered about how Mark Zuckerberg makes money from whatsapp ? there isn’t any advertisement source, and we’re using whatsapp for years for absolutely free of cost. Currently whatsapp is one of the most widespread social media platform globally, daily its users sent more than 55 billions messages across the platform. And it surely takes billions of dollars investment to maintain the servers. So you most probably thinking about how whatsapp generates revenue from its users ? Today i’m going to  end your curiosity through this article.

Whatsapp was founded in 2009 by Brain Acton and Jan Koum. On February 2013, whatsapp had gained around 200 million active users and it was valued at $1.5 Billion. And On February 19, 2014 Facebook acquired whatsapp for $19 Billions. Till date users need to pay around $0.99 per year to use whatsapp, which was a initial source of its revenue in the early days. But On January 18,2016, WhatsApp’s founder Jan Koum announced that the service would no longer charge their users a $1 annual subscription fee in an effort to remove a barrier faced by some users who do not have a credit card to pay for the service. Further more he also said whatsapp would not display any third party advertisements to generate revenue.

Interesting thing is that Mark Zuckerberg doesn’t make any money from whatsapp, atleast not right now. Whatsapp currently has no revenue source. Just ignore things on the internet like ” if you don’t pay for the product, you’re the product”. You most probably heard that Facebook uses whatapp user’s data to push targeted ads, but it’s completely wrong. Mark Zuckerberg announced that at any point facebook would not use whatsapp server’s data to improve its ads suggestions. Jan Koum, Whatsapp CEO has been very serious about maintaining customers privacy and whatsapp doesn’t store user’s chat on its server, and furthermore all the chats are end to end encrypted. Aside from the sender and collector noone is able to access the information shared on the application via their chats. Despite of thinking about revenue, whatsapp is bringing improvements and more new features on its platform. Currently it has more than a billion active monthly users from all over the world.

Though whatsapp is looking forward to generate revenue from the app, overall Facebook bought whatsapp for a whopping amount of $19B. Whatsapp already started working for whatsapp payments to integrate payment features into the app.  The WhatsApp Payments is a peer to peer money transfer feature that is set to launch in India. Also WhatsApp has already received permit from the National Payments Corporation of India (NPCI) to enter into partnership with multiple banks back in July, 2017 to allow its users to make in-app payments and money transfers using the Unified Payments Interface (UPI). Just imagine the day is near when You can settle bills with your friends, pay for your Uber rides, Recharge your number and pay at restaurants using your Whatsapp account. Whatsapp would earn money via transaction charges, and it will be a main source for whatsapp to generate revenue.

Not only this, i hope you know that recently whatsapp introduced whatsapp business application which lets business owner to interact with the customers directly using the chat or calls feature of the app. It means you can now communicate with the company easily using your whatsapp as long as they’ve their whatsapp business number. Also whatsapp will integrate the  payment feature with the newly launched business platform. Just think you’re chatting with a pizza shop owner/employee and you can place your order and even pay for it directly using whatsapp, yes it could turn into reality soon. Not only this, many companies including Netflix partnerships with whatsapp recently.  This messaging platform could introduce online mobile gaming feature into the app, we’ve seen such feature in Hike / wechat. Or more new features might be on its way focusing on generating revenue from whatsapp. After all the conclusion is surprising, Facebook or Mark Zuckerberg have made $0 from whatsapp till now. 

What do you think ? we missed any thing ? share it with us in the comments below.


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