Happenings in Social Media’s Business Side in May 2017

https://techcrunch.com/2017/05/18/facebook-fined-122m-in-europe-over-misleading-whatsapp-filing/

 

Social media giant Facebook acquired WhatsApp a few years ago, having their conversational tools assist those of Facebook users on Messenger. The deal was worth about $19 billion three years ago as of the acquisition’s date. Facebook has now been fined for misleading financial information provided three years ago in formal negotiations for the acquisition.

 

The fine, although paltry at best to the giant Facebook is, totaled $122 million. Facebook was charged this sum in Europe because of a violation of WhatsApp’s terms and conditions in relation to privacy rights of users. Despite this serious, negative ruling, Facebook will likely not experience any shortcomings and be right be as the world’s number one social media site.

 

Many companies consider being acquired by other, larger companies because of the potentially tremendous payouts they may receive. Owners of WhatsApp will likely never have to work again after what they were paid in 2014. Angelica Nwandu, the founder of The Shade Room, has recently expressed strong feelings that she wants to keep The Shade Room to itself and not allow it to be acquired by a larger company.

 

As to Facebook’s future with its subsidiary WhatsApp, more regulatory findings may be administered against Facebook’s favor. No matter what the price, Facebook will still be the giant it is today. Further discrepancies between WhatsApp’s terms of service that was updated in August 2016 may arise in future proceedings. For now, many believe that Facebook is safe — well, if you call $122 million safe.