Facebook deep in negotiations to acquire Waze

By on May 9, 2013, 9:30 AM
facebook, social, buyout, navigation, waze

Facebook is in advanced talks to purchase Israel-based navigation app Waze. The deal is reported to be in the same $800 million to $1 billion range the social network paid for Instagram, and is seen as another opportunity to bolster their lineup of mobile offerings.

We've heard rumors of the social networking giant purchasing Waze previously, and we've even heard rumblings of Apple possibly purchasing the crowd-sourced navigation service. However, this report from Israel-based newspaper Calcalist (via TheNextWeb) is quite a bit more solid than previous rumors.

Both companies already have something of a partnership, with Waze allowing users to share their drives over Facebook, and the social network showing Waze prominently during the recent introduction of its Home launcher. Of course, working together and being one and the same are completely different things.

Calcalist's report claims that Facebook began discussions to purchase the navigation service about six months ago. It also says that a terms sheet has been signed, and due diligence is underway. This means the deal could be close to becoming a reality, as long as all of the final processes go smoothly.

This would not be Facebook's first acquisition in Israel. Just recently, the company acquired Face.com for $60 million and Snaptu for $70 million, although those were obviously quite a bit less expensive.

Only time will tell if this report ends up leading to an acquisition, but at this stage of the game, it seems likely. Waze's user base has grown to 45 million, which certainly makes it desirable for Facebook.




User Comments: 19

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howzz1854 said:

Great.... the inevitable is now happening. knew it was too good of a ride to last. now let the ads and "maybe" even subscription begin.

9Nails, TechSpot Paladin, said:

My first reaction: "WTF is Waze?"

Second reaction: "1 billion for a thing that I've never heard of?!"

I need to make some obscure software and charge some dot com too much money for it!

Mortalife Mortalife said:

I use Waze everyday as a field engineer, and at times has been indispensable in avoiding traffic. General day to day usage is very good, and I prefer it to the built in Android Navigation app. Will be sorry to see anything happen to it. Can only hope this will be a good thing..

JC713 JC713 said:

I used it when I got my iPhone 5 back in September before Google Maps was released. The social aspect of it is neat. The cartoony interface is trash though. I will never go back to it. Facebook will ruin it as is has done with everything else.

Mortalife Mortalife said:

This app is garbage. I used if when I got my iPhone 5 back in September before Google Maps was released. The social aspect of it is neat. The cartoony interface is trash also. I will never go back to it. Facebook will ruin it as is has done with everything else.

Well, aren't you a cheerful chap. What about the app makes you describe it as garbage?

JC713 JC713 said:

Well, aren't you a cheerful chap. What about the app makes you describe it as garbage?

1) It is glitchy 2) The social aspect is neat, but isnt for me. 3) The interface is just, uhhhh, bad.

1 person liked this | howzz1854 said:

My first reaction: "WTF is Waze?"

Second reaction: "1 billion for a thing that I've never heard of?!"

I need to make some obscure software and charge some dot com too much money for it!

it's first of its kind that's by far the smartest and intuitive navigation software. I've used quite a variety of different kind, living in LA, WAZE is the way to go.

howzz1854 said:

This app is garbage. I used if when I got my iPhone 5 back in September before Google Maps was released. The social aspect of it is neat. The cartoony interface is trash also. I will never go back to it. Facebook will ruin it as is has done with everything else.

somehow I find this hard to believe. just what part of waze you find it to be "garbage". as far as I know, it's the only app that's smart enough and most real-time that alerts you of traffic cameras, police presence, accidents in rea-time, road construction in real time, able to communicate with fellow drivers who're 2 miles ahead of you in traffice, and able to divert you to alternate route based on real-time user feedback. I live in downtown LA, and I've tried many different navs, so I really would like to know just what is about Waze that is garbage, because all the default phone nav apps are what I would call garbage in comparison.

JC713 JC713 said:

I will try it another time and get back to you.

JC713 JC713 said:

somehow I find this hard to believe. just what part of waze you find it to be "garbage". as far as I know, it's the only app that's smart enough and most real-time that alerts you of traffic cameras, police presence, accidents in rea-time, road construction in real time, able to communicate with fellow drivers who're 2 miles ahead of you in traffice, and able to divert you to alternate route based on real-time user feedback. I live in downtown LA, and I've tried many different navs, so I really would like to know just what is about Waze that is garbage, because all the default phone nav apps are what I would call garbage in comparison.

Ok, so I redownloaded it. They have made a ton of enhancements since I last used it so I am willing to give it another true try. I still hate that cartoony interface though.

TS-56336 TS-56336 said:

Waze would lose users if they sell out to facebook.

MonsterZero MonsterZero said:

Why do the sperm in the logo have hair and wheels?

JC713 JC713 said:

Why do the sperm in the logo have hair and wheels?

That is what irks me lol.

jobeard jobeard, TS Ambassador, said:

That is what irks me lol.
Now isn't that a great criterion to evaluate software (n)

JC713 JC713 said:

Now isn't that a great criterion to evaluate software (n)

I like aesthetics, dont blame me lol. I want my home screen to look pretty. I dont want a smiling I-don't-know-what-that-is figure on my home screen.

1 person liked this | jobeard jobeard, TS Ambassador, said:

Fine; as a software developer, my focus is on function delivered and not on eye-candy. To each his own; beauty is in the eye of the beholder, ...

JC713 JC713 said:

Fine; as a software developer, my focus is on function delivered and not on eye-candy. To each his own; beauty is in the eye of the beholder, ...

Yes! But to sell an app, it needs to be ecstatically appealing. I try to stand clear of ugly apps (I can tell easily by the apps logo) (iOS). If you develop for desktop apps, not mobile apps, then yes, functionality>eye candy.

jobeard jobeard, TS Ambassador, said:

Here's some "industry comments" on WAZE for consideration.

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