- Waze is a mapping app for smartphones that’s infused with cool social features, such as users can tap an icon to alert other users that they saw a highway patrol, looking for speeders.
Facebook wants to buy WAZE because adding mapping and traffic capabilities could also help the company continue to distinguish itself and take important consumer features in mobile away from Google.
- Waze will improve Facebook’s local search, which is an increasingly important
- Facebook believes maps are a core mobile application that it needs to own, even on Google devices. Waze can help it make social mapping software that users will prefer over Google Maps.
- Owning Waze gives Facebook more mobile usage, and might even make its core product,
Google has many reasons to buy WAZE too,
- it would make Google Maps an even more robust and therefore popular product
- it would keep it out of Facebook hands
Categories: Equity Capital Markets