Facebook Inc (NASDAQ:FB)’s WhatsApp Breaks 2014 Promise

WhatsApp’s Jan Koum finally broke his 2014 promise. Two years back when users were worried about their data being misused by Facebook Inc (NASDAQ:FB) after buying the latter for $19 billion in 2014. Jan Koum in a blog post stated that “We don’t know your birthday. We don’t know your home address,” Mr. Koum clarified in a blog post at the time. “None of that data has ever been collected and stored by WhatsApp, and we really have no plans to change that.”

Now two years later, Mr. Koum announces that WhatsApp will share phone numbers and analytics data with Facebook Inc (NASDAQ:FB). It is important to note that the messaging platform has been free ever since it was launched. Now, Mr. Koum is looking for ways to monetize data.

What has changed?

  • WhatsApp updates its privacy policy today
  • With new policy WhatsApp can be linked to Facebook
  • Facebook gets more data which will be used for providing better user experience
  • WhatsApp now wants to look at different options to monetize its business, something which it had not done

The Good part

  • You can opt out if you don’t want to share your number
  • Facebook Inc (NASDAQ:FB) will not sell your mobile numbers unlike other companies which sell your data to marketers
  • Your WhatsApp number will not appear on Facebook
  • WhatsApp will fight Spam more effectively
  • (Depending on your perspective) Businesses will be able to contact you through WhatsApp and will serve you in a better manner

Potential Challenges

Data privacy is one of the key issues plaguing users across the world. The amount of data which apps collect at the time of installation has always been a concern. Apple Inc. (NASDAQ:AAPL) has always been an example when it comes to protecting individual data. The company keeps on adding extra layer of privacy making it more secure. Companies like Google and Facebook are constantly expanding how they use your data.

While users of Facebook knowingly share a lot of data with the company, WhatsApp users may not be as keen to the concept.

WhatsApp Access To FB Access To


Viraj Shah

Viraj Shah has completed M.Com (Finance) and is currently pursuing his CFP. He tracks US markets along with other global markets like India very closely. He is very passionate about stocks, real estate, and technology. He also believes that money can always be made in the market.

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