Surely many learned about WhatsApp after 2014, the year in which Mark Zuckerberg announced the purchase of the application by Facebook (today Meta). So perhaps those users did not know that before that moment the platform was paid and not a free version as it is now.
Despite having this model, the application became very popular and that led Zuckerberg to notice the project and decide to integrate it into his company, today being a fundamental part of its ecosystem, economic model and vision for the future.
In 2009, Jan Koum and Brian Acton, both former Yahoo! employees, came up with the idea of an instant messaging application that was simple, efficient and accessible to everyone. This is how WhatsApp was born, a platform that would change mobile communication by allowing users to send text messages using their mobile phones’ internet connection, rather than relying on expensive SMS services from phone carriers.
Initially, WhatsApp was not free. iPhone users, for example, had to pay a small one-time fee to download the app and use it for life.
This fee was symbolic, roughly less than a dollar, but it laid the foundation for the company’s initial business model. On the other handAndroid users enjoyed a free year before having to pay an annual subscription also close to a dollar.
Over time, WhatsApp became the most used messaging application globally. Its intuitive interface, the ability to send multimedia messages and integration with the phone’s contact book made it indispensable for millions of people. The arrival of features like voice and video calls only increased its value among users.
By 2014, WhatsApp was already a consolidated platform, with hundreds of millions of active users daily. However, Its subscription-based business model was set to change dramatically that same year.
On February 19, 2014, Mark Zuckerberg, CEO of Facebook (now Meta), announced the acquisition of WhatsApp for the sum of 19 billion dollars. This acquisition had a profound impact on the future of the app and its business model.
Before purchasing, The platform operated on a modest subscription model that allowed the app to generate enough revenue to sustain itself without resorting to intrusive advertising.. The founders were known for their commitment to user privacy and ad-free experience.
Following the acquisition, one of the first key decisions was to abolish the subscription payment model. Facebook decided that WhatsApp should be offered free of charge to all users, thus removing any financial barrier to accessing the app.
One of the commitments made by Jan Koum and Brian Acton when selling WhatsApp to Facebook was to ensure the independence and privacy of the platform. Both founders were advocates for user data privacy and wanted to ensure the app maintained its integrity as a place focused on security and user experience.
Despite the changes and integrations with other Facebook services, WhatsApp has managed to maintain a large part of its original identity. The promise of keeping the platform free of ads has been fulfilled, and end-to-end encryption tools ensure that users’ messages remain private and protected.
