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These companies are all part of Facebook

When Facebook was founded in 2004, the user was still in the first place. Because only if this is offered real added value, he also stays on the hook and ensures growth.

At some point, however, it is probably in every major company so that once a threshold is available to users, only the money is in focus. And all the more so if a company goes public and shareholders expect dividends. In order to be able to grow, it is not only important to bind more users to the core product (namely Facebook), but also to keep an eye on the competition.

These companies belong to Facebook

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After all, it does not sleep either, and could easily jeopardize its own dominant position with similar products. So to continue to be the No. 1 one makes the competition simply an offer what they can not refuse. The amount of money paid for a Facebook takeover in the past can make you dizzy.

Read below which companies have been bought by Facebook in the past, and now belong to their own group.

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These companies are all part of Facebook

When Facebook was founded in 2004, the user was still in the first place. Because only if this is offered real added value, he also stays on the hook and ensures growth.

At some point, however, it is probably in every major company so that once a threshold is available to users, only the money is in focus. And all the more so if a company goes public and shareholders expect dividends. In order to be able to grow, it is not only important to bind more users to the core product (namely Facebook), but also to keep an eye on the competition.

These companies belong to Facebook

Topic Overview

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After all, it does not sleep either, and could easily jeopardize its own dominant position with similar products. So to continue to be the No. 1 one makes the competition simply an offer what they can not refuse. The amount of money paid for a Facebook takeover in the past can make you dizzy.

Read below which companies have been bought by Facebook in the past, and now belong to their own group.

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1. Takeover of Instagram

1. Takeover of Instagram

Instagram was originally founded as an online sharing service for photos and videos in 2010 by Kevin Systrom and Mike Krieger.

Even then it was clear that with growing data transfer rates, especially in the mobile sector, there is a great potential here. For the most common thing today is the sharing of images in social media. The only thing the founders lacked at the time was a mature business model of how to make their own product into money.

At the time, of course, Facebook was already much ripened, and knew about the power of images on the Internet, and above all what enormous potential is here at the start to make money through advertising.

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And so in 2012, Facebook bought the then very small company Instagram with just 12 employees without further ado for an incredible $ 1 billion (about 760 million euros).

At that time, it was the highest amount ever paid for a digital online photo service.
However, the investment for Facebook has been well worth it, because in 2018 already used about 1 billion people worldwide (15 million in Germany) Instagram, and diligently share pictures of your life.

For influencers, Instagram is one of the most important channels to finance their livelihood in addition to YouTube.

Instagram’s estimated annual revenue in 2018 was already over $ 1.5 billion. And if you wanted to evaluate Instagram as an independent company, this would already be over $ 100 billion.

Of course, the investment of $ 1 billion is of course relativized quickly.

Instagram was originally founded as an online sharing service for photos and videos in 2010 by Kevin Systrom and Mike Krieger.

Even then it was clear that with growing data transfer rates, especially in the mobile sector, there is a great potential here. For the most common thing today is the sharing of images in social media. The only thing the founders lacked at the time was a mature business model of how to make their own product into money.

At the time, of course, Facebook was already much ripened, and knew about the power of images on the Internet, and above all what enormous potential is here at the start to make money through advertising.

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And so in 2012, Facebook bought the then very small company Instagram with just 12 employees without further ado for an incredible $ 1 billion (about 760 million euros).

At that time, it was the highest amount ever paid for a digital online photo service.
However, the investment for Facebook has been well worth it, because in 2018 already used about 1 billion people worldwide (15 million in Germany) Instagram, and diligently share pictures of your life.

For influencers, Instagram is one of the most important channels to finance their livelihood in addition to YouTube.

Instagram’s estimated annual revenue in 2018 was already over $ 1.5 billion. And if you wanted to evaluate Instagram as an independent company, this would already be over $ 100 billion.

Of course, the investment of $ 1 billion is of course relativized quickly.

2. Takeover of WhatsApp

2. Takeover of WhatsApp

The market launch of smartphones with the iPhone in 2007, the end of the good old SMS has rung in, and thus at the same time the triumphal march of messenger services began.

The rapidly growing use of messenger services that made the fast and easy exchange of photos, videos and text messages possible through multimedia compatibility was also a serious competition for Facebook. Why should I share posts on a platform like Facebook, even if it is still on the smartphone? much easier. Especially since the existing contacts are immediately integrated with it.

Founded in 2009 by Jan Koum and Brian Action as a short message service, WhatsApp offered great potential as mentioned earlier. This also Facebook recognized early, and bought the service in 2014 for a proud $ 19 billion.

Since the stupid $ 1 billion that was still filed for Instagram, almost like an alms.

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But this investment has been more than worth it for Facebook.

By 2018, 1.5 billion people worldwide (31 million of them in Germany) are using the popular messenger service, sending about 55 billion messages a day. Although Facebook has not achieved much in the form of cash (at least in relation to the investment sum), this is likely to change soon as in the future advertisements will also be available that offer a lot of potential with such high numbers of users.

However, the investment has been worth it for Facebook because data (and what can be made of it) are incredibly valuable.

It remains to be seen whether WhatsApp can continue to bind users, if ads appear in the context of the sent message content. Because competition takes it a bit more seriously with data protection, there is already a long time on the market.

The market launch of smartphones with the iPhone in 2007, the end of the good old SMS has rung in, and thus at the same time the triumphal march of messenger services began.

The rapidly growing use of messenger services that made the fast and easy exchange of photos, videos and text messages possible through multimedia compatibility was also a serious competition for Facebook. Why should I share posts on a platform like Facebook, even if it is still on the smartphone? much easier. Especially since the existing contacts are immediately integrated with it.

Founded in 2009 by Jan Koum and Brian Action as a short message service, WhatsApp offered great potential as mentioned earlier. This also Facebook recognized early, and bought the service in 2014 for a proud $ 19 billion.

Since the stupid $ 1 billion that was still filed for Instagram, almost like an alms.

Advertisement

But this investment has been more than worth it for Facebook.

By 2018, 1.5 billion people worldwide (31 million of them in Germany) are using the popular messenger service, sending about 55 billion messages a day. Although Facebook has not achieved much in the form of cash (at least in relation to the investment sum), this is likely to change soon as in the future advertisements will also be available that offer a lot of potential with such high numbers of users.

However, the investment has been worth it for Facebook because data (and what can be made of it) are incredibly valuable.

It remains to be seen whether WhatsApp can continue to bind users, if ads appear in the context of the sent message content. Because competition takes it a bit more seriously with data protection, there is already a long time on the market.

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3. Takeover of Oculus VR

3. Takeover of Oculus VR

Also Oculus VR is one of the younger companies that were bought by Facebook, because here was not a direct competitor in the room, but a development that offered further opportunities for diversification.

Oculus VR was founded in 2012 by Palmer Luckey, Brendan Irive, Nate Mitschell and Michael Antonov. The original idea was the realization of a virtual reality that could be used not only for computer games, but also in many other areas such as medicine or industry.

Oculus VR was bought by Facebook in 2014 for a cheap 2.3 billion US dollars. The business model is by no means limited to advertising and e-commerce. Because Virtual Reality is not a hype that you forgot in a few years again as the 3D TV devices that could not really prevail. And so, of course, in addition to the hardware sales also offers the possibilities of media subscriptions, in-app sales, premium content, communication services and much more on.

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The acquisition of Oculus VR has shown that while Facebook’s core business continues to be user data and its exploitation, those who want to grow must think outside the box and venture into new markets.

Also Oculus VR is one of the younger companies that were bought by Facebook, because here was not a direct competitor in the room, but a development that offered further opportunities for diversification.

Oculus VR was founded in 2012 by Palmer Luckey, Brendan Irive, Nate Mitschell and Michael Antonov. The original idea was the realization of a virtual reality that could be used not only for computer games, but also in many other areas such as medicine or industry.

Oculus VR was bought by Facebook in 2014 for a cheap 2.3 billion US dollars. The business model is by no means limited to advertising and e-commerce. Because Virtual Reality is not a hype that you forgot in a few years again as the 3D TV devices that could not really prevail. And so, of course, in addition to the hardware sales also offers the possibilities of media subscriptions, in-app sales, premium content, communication services and much more on.

Advertisement

The acquisition of Oculus VR has shown that while Facebook’s core business continues to be user data and its exploitation, those who want to grow must think outside the box and venture into new markets.

4. Conclusion

4. Conclusion

Of course, Facebook has also made some bad investments such as the acquisition of the fitness app Moves. But risk, like everywhere else in life, is part of the business.

Certainly the Facebook has changed our lives as well as Google, Microsoft, Apple, Amazon, and much more. And even if we do not use the services directly. Because the dominant position of a corporation and its subsidiaries (which in turn also accommodate daughters), the influence has long been spilled over from online to the real world, and affects all our lives.

It is important to understand that the responsibility for your own data can not be outsourced to corporations or governments. Because all too often we experience it not politics, but money rules the world. And the money has the companies.

So take a closer look at which company is behind a supposedly independent company. You will be amazed at how few major players pull the strings.

Of course, Facebook has also made some bad investments such as the acquisition of the fitness app Moves. But risk, like everywhere else in life, is part of the business.

Certainly the Facebook has changed our lives as well as Google, Microsoft, Apple, Amazon, and much more. And even if we do not use the services directly. Because the dominant position of a corporation and its subsidiaries (which in turn also accommodate daughters), the influence has long been spilled over from online to the real world, and affects all our lives.

It is important to understand that the responsibility for your own data can not be outsourced to corporations or governments. Because all too often we experience it not politics, but money rules the world. And the money has the companies.

So take a closer look at which company is behind a supposedly independent company. You will be amazed at how few major players pull the strings.

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About the author:

Michael Suhr
Michael SuhrWebdesigner / Economist
After 20 years in logistics management, I have been working as a freelance web designer and office trainer since the beginning of 2015. Incidentally, I give tips and tricks for more digital skills in my blog as time permits.

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About the author:

Michael Suhr
Michael SuhrWebdesigner / Economist
After 20 years in logistics management, I have been working as a freelance web designer and office trainer since the beginning of 2015. Incidentally, I give tips and tricks for more digital skills in my blog as time permits.

Search by category:

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2019-10-06T09:41:02+02:00By |Categories: Internet, Finance & Shopping, Uncategorized|Tags: |