While Facebook is reputed to be willing to cough up over $1 billion in cold hard cash for Waze, Google is not one of those wimpy companies to be left behind in the dust. Waze is a very lucrative asset nowadays and so the two behemoths have locked horns over acquiring this critter. And the bidding is getting higher and higher. Earlier, Facebook began the acquisition deal by starting off at $800 million. Later on it added $200 million more to the offer in order to make it one that won’t be refused.
According to Bloomberg, a cool $1 billion was enough to get the tongue salivating and slobbering. But now it appears to be a case of the unstoppable against the immovable. Google has stepped into the arena and the competitive heat is definitely on. While the bosses at Waze are hopping glad that the two suitors are wooing it to embrace either one, it is behaving more like a coy mistress than a bold hussy.
The social traffic app firm knows how to play its cards right and has a few aces up its sleeve to boot. Facebook and Google are both adamant and obstinate in their bid to outdo one another in this case of “it’s mine and not yours.” And as the stakes go higher the scenario appears to become both absurd and surreal in its dimensions. Waze meanwhile is a cunning politician since it may choose to fold its cards and leave the negotiating table. That would be tantamount to lead to a fresh round of auctioning.
Waze is basically a network of car drivers who keep in touch with one another and lend tips about favorite routes and hot spots. The company has shown consistent growth since a long time and owns a large portion of the market. Waze has something that both Google and Facebook want and that is social credibility and a reputation for profitable ventures. Both giants want to expand and diversify their mobile offerings. For that they will need the help of Waze.And this firm which is the source of jealousy between the two knows it very well. Google wants to stop Facebook from getting its hands on Waze and so the bidding wars seem to have begun.
Waze has over $40 million users and it may reject any offers at being bought. It deems itself priceless. Meanwhile, a third party that was once interested in the Waze acquisition has just opted out of the game. This is none other than Apple. Even so, with two big guns fighting it out spaghetti western-style for the sake of their love interest, the competitive waves may get rough indeed as time proceeds in its merciless onslaught.