Google is considering to buy Israeli mobile satellite navigation startup Waze Inc, as per the claims. This might drag Google and Facebook in a bidding war. Earlier Facebook offered as much as $1 bn to add Waze on board. The possible buyout was in continuous spotlight in several Israeli and international publication since last few months.
What interests Facebook and Google to acquire Waze?
Waze uses satellite signals from its member’s smartphones to generate maps and traffic data, which then offers real time traffic info when shared with other members.
If Facebook acquires Waze, the company can get real time location functionality of Waze, which it can use on its platform to allow users interact through each other while knowing their current location. Also it can help Facebook generate more revenues from ads, as with Waze, FB could allow advertisers to target Facebook users based on their geographic location.
Google, which in addition to Google+, can also use Waze for its Google maps. Its widely used mapping tool could adopt Waze to add social feature to the network. Imagine Google maps, one of the most popular and widely used map service providing real time traffic and other updates. For Google, buying Waze for even more than $1 bn will not be surprising at all.
It will be interesting to see how Waze will react to these rival bids. With two giant bidders entering the scene, it will be interesting to see the closing price for Waze, and will it be justified ?
Currently having more than 45 million users, Waze is a community-based traffic and navigation app with large number of drivers around the world sharing real-time road info.Category Internet Investments News