Google to acquire GPS app Waze for $1 billion. Waze for an estimated cost of $1 bn. Waze is an Israeli based GPS app for navigation. The news was reported by the Israeli media.
GPS App Waze
Waze is an app, which is a ‘community of drivers’ that is designed at fighting traffic, saving time as well as money on the gas for daily commuting. Waze claims to have 40 million odd users at the moment.
The cost of $1 bn is an estimated cost and the actual price may go beyond this figure. It is known that these two companies have agreed and possibly struck a deal. If the details of the agreement are anything to go by, Google has been asked to foot the entire bill in cash.
A spokesman from Google, speaking about this deal said that they do choose not to comment on speculations made in the media or the rumors. There were also reports that claimed that the deal had been struck for $1.3 bn.
Earlier, two other major companies, Facebook and Apple had also made attempts to purchase Waze. However, for some reasons, the deal didn’t work with either of them.
One of the reasons was that Waze wanted their local staff members to not be removed after the deal. However, the real reasons can’t be pinpointed. It must be mentioned that Facebook had wished to move the offices of Waze to its headquarters in California.
As far as Google is concerned, there have already been a couple of transactions when Google purchased a couple of Israeli firms and also have local offices. This seems to be one of the reasons why Google could strike the deal with Waze.
For at least the next three years, Noam Bardin will stay on at the CEO of the company. Apart from that, Waze will also have its separate identity as a brand and also as a company.