6
This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?
Sorry, you are not old enough to view this content.

CNET Update: What's the deal with WhatsApp?

About Video Transcript

CNET Update: What's the deal with WhatsApp?

2:56 /

Facebook dominates the mobile messaging world with its $19 billion acquisition of WhatsApp. CNET's Bridget Carey explains the value of the app, along with news about the Xbox One and a high-tech toothbrush.

-Facebook wants to be king of the text message. I'm Bridget Carey and this is your CNET update. When Facebook agreed to purchase Whatsapp for $19 billion, most people were asking "what's Whatsapp." Well, put simply, it's a private messaging app that's massively popular around the world and people use it instead of sending regular SMS text messages. Whatsapp has 450 million monthly active users. That's almost double the monthly active users of Twitter. It's not as popular in America. Most folks in the U.S. don't bother with using a separate app for text messages because many wireless plans include unlimited texting, but in other countries, texting can be costly especially if you're testing friends and family living abroad. Whatsapp gets around the texting fees because it uses a data connection. It's free for the first 12 months and only a dollar a year after that. So, you might ask how is Whatsapp worth $19 billion to Facebook. It is a shocking amount of money, but you can argue it was a good deal. Let's break it down. Each day, Whatsapp has 1 million new members signing up. It won't be long before it hits a billion users. With every member paying 1-dollar annual subscription fees, Facebook now is bringing in major revenue. Right now, more than 18 billion messages are sent a day on Whatsapp. That includes texts, and videos, and photos, but that's close to the same amount of regular SMS messages that are sent around the world each day from all the cellular companies combined. This is becoming the more popular way to text. Whatsapp has a larger and faster growing user base than Twitter. So, if Whatsapp is growing more than Twitter and Twitter's worth $30 billion, then Mark Zuckerberg got a good deal for paying $19 billion. When you look at how often people use the app, they use it more than Facebook. About 70 percent of Whatsapp users are engaging with the app each day compared to Facebook's 61 percent engagement. This was Facebook's biggest mobile challenger, but not anymore. In gadget news, Xbox one owners will soon be able to buy a media remote for the console. Microsoft announced the Xbox One media remote will hit stores in early March for $25. And if you wanted more tech in your toothbrush, Oral-B announced a new smart series electric toothbrush that sends data to your smartphone using Bluetooth. Yes, a Bluetooth toothbrush. It tracks how well you're brushing and reports back on an app. It will be $300 when it goes on sale later this year. That's your tech news update, but you can find more details at cnet.com/update and you could always keep up with the latest stories by following along on Twitter. From our studios in New York, I'm Bridget Carey.
  • This is the interactive sidebar!

    Click any icon for more information as they appear--don't worry, we'll pause the video and wait for you to come back.

  • Links Polls Galleries
  • Video Review

New releases

Jay Z's Tidal music service makes star-studded splash
1:14 March 31, 2015
Alicia Keys joined rap mogul Jay Z, Madonna and other music icons to introduce Tidal, what they call the first artist-owned streaming-music...
Play video
Amazon Dash Buttons may be the future of grocery shopping
2:53 March 31, 2015
Running low on something? Put an Amazon Dash Button in your home to instantly order more. Also Google makes a bigger push for Chrome...
Play video
Hisense's Chromebook is portable, light and only $149
1:48 March 31, 2015
This new budget Chromebook is perfect for students.
Play video
What is the Turing Test?
1:54 March 31, 2015
You've probably heard of the Turing Test for artificial intelligence, but how does it work? And what does it mean if a robot passes...
Play video
On the road: Mercedes F 015
5:53 March 31, 2015
Brian Cooley rides in the Mercedes F 015 self-driving concept vehicle and explains how we'll live with cars in the future.
Play video
New Microsoft Surface 3 cuts the price, keeps the killer keyboard
1:16 March 31, 2015
The non-Pro version of the Microsoft Surface 3 is smaller and costs less, but uses an entry level processor.
Play video
Mega Tiny Corp's Zero G Nano Suction iPhone 6 case defies gravity
1:35 March 30, 2015
This upcoming iPhone 6/6 Plus case incorporates NanoSuction material that emulates the adhesive qualities of gecko feet to stick to...
Play video
Playing Super Mario 64 in HD makes us want official Mario game remasters (Tomorrow Daily 152)
26:59 March 30, 2015
On today's show, Ashley and Khail discuss NASA's wacky plan to give the moon its own tiny asteroid moon, one programmer's excellent...
Play video