Personally, the deal seems a bit rich. The math works out to roughly $42 per user, but right now there’s zero ad revenue at Whatsapp, and many users are on the service free of charge.
Only time will tell whether Whatsapp is ultimately a smart deal or not. But one thing that’s for certain is that the deal marks one of the biggest in the history of Internet stocks.
In fact, a tally of some of the biggest previous buyouts puts the Facebook-Whatsapp deal in the No. 2 spot.
So what are the other big buyouts in the history of internet stocks, and how did they turn out? Take a look: