Google Enters The Bidding War For Waze
Google has entered the ring with bids of their own for Waze, a mobile map application that uses crowdsourcing for content and data. Earlier this month, we reported that Facebook was interested in buying out Waze. Facebook’s talks with Waze came at a standstill because they want Waze’s team to move from their headquarters in Israel to Facebook’s headquarters in Menlo Park, California. Waze reportedly wants over $1 billion for the acquisition.
Waze’s talks with Facebook and Google could fall through and the company may simply raise another round of funding to remain independent. It is rather unclear what Facebook could do with Waze, but it is easy to see that Google could integrate Waze’s social mapping features into Google Maps.
Google and Facebook are not the only tech companies that have approached Waze about a deal, according to sources with BusinessWeek. However, the other companies that have approached Waze are not yet known, but we know that Apple is not in the race. None of the bidders are near final talks yet.
Waze has raised $30 million in funding total from Kleiner Perkins Caufield & Byers, Horizons Ventures (Li Ka-shing’s investment arm), Magma Venture Partners, Vertex Venture Capital, and BlueRun Ventures. Waze now has over 40 million users. Waze generates revenue through location-based advertising.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry