Dive Brief:
- Last month, Facebook bought messaging app WhatsApp for $16 billion and questions immediately arose as to how the ad-free platform would make money.
- WhatsApp has long held a strict no-ad policy with the motto "No ads, no games, no gimmicks."
- The no-ads policy may not be as strong as previously thought, as WhatsApp is exploring monetization options that may include allowing brands to message users with their permission.
Dive Insight:
It's not entirely shocking that Facebook is searching for ways to monetize WhatsApp, especially given its extensive international user base. This is not the first time a social platform has resisted incorporating ads and later caved. After the acquisition, WhatsApp users fled by the millions to other messaging apps, so the company could risk more alienation with the addition of ads. That being said, WhatsApp claims it is still adding a million users each day, so it should be safe for now.