WhatsApp will operate as an independent unit within Facebook, just like the company's prior acquisition of Instagram for $1 billion. WhatsApp's user base remains extremely engaged, uploading 600 million photos, 200 million voice messages, and 100 million video messages every day. WhatsApp's messaging volume is rapidly approaching the global SMS telecom volume, as 19 billion messages are sent and 34 billion are received every day.

It managed to gain 419 million users in its first four years of operations. WhatsApp has gained solid momentum because of its cross-platform functionality across all major mobile platforms. WhatsApp is growing at a rapid-fire rate: It has amassed more than 450 million monthly users and is adding new users at an average rate of 1 million per day. But the acquisition price for WhatsApp is very high compared to the value it could extract, and will lead to substantial dilution for Facebook's existing shareholders. Facebook has an opportunity to grow in the mobile sector, as its platform apparently accounts for 1 of every 5 minutes of user time spent on mobile devices. Now, the company is splurging on an overpriced acquisition of cross-platform messaging app WhatsApp for $19 billion. Recently, Facebook ( META 2.11%) has been experiencing success with mobile devices, posting record revenue and user engagement statistics.

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