Google to buy Waze for $1.3 Billion

10, June 2013. In May, the speculation was circulated that Facebook is going to buy Waze for $1 billion. However, according to Haaretz reports, Google has finally prepared to buy Waze at $1.3 billion. However, Facebook wants to shut the operation of Waze in Israel and start the operation in California. Nevertheless, the deal fell apart because Waze wants to have its operation permanently located in Israel. In the middle of this rumor, there was also a speculation that Apple is also going to purchase Waze for $500 million.

Waze is used for catching satellite signals of member’s Smartphone that is used for generating map and data traffic. The deal between Google and Waze happened on the base that Israel would remain its service in Israel for next three years. The deal would be useful to Google as it integrates map editors and provide new resources for the service. If this deal happens, it will be a major step in Israel country towards technology and new start-ups and of course the highest profile acquisition in Israel.

The mere question is will Google shut Waze after three years extension after incorporation. It is all about future concern but the history said that Google has shut down its acquisitions after incorporation. Google wants Facebook to use Google navigation system by containing Waze’s technology into Facebook.

Since, the last year Waze has made tremendous changes in map by adding 500-million map editions across 110 countries. Waze also raised an amount of $67 million by venture capital and has portfolio of investors like Kleiner Perkins Caufield & Byers, Blue Run Ventures, and Vertex Venture Capital. The company has a portfolio of 50 million users in today’s time.

Currently Mashable contacted Google and Waze about this deal but Waze did not respond to its request while Google told Mashable about not to believe in rumors and denied the speculation of such deal. However, there is no smoke without fire and according to leaks and reports, Google and Waze have considered many points for this deal, the only question is that at what price?

No matter what the result will emerge, there is a directly advantage to Google in terms of GPS navigation and community based traffic. It will be a big leap in Google’s mapping and traffic service as Waze has millions of drivers over the world giving out real-time road info.


Post a Comment

Related Posts Plugin for WordPress, Blogger...


Twitter Delicious Facebook Digg Stumbleupon Favorites