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How does WhatsApp make money?

At present, Whatsapp has an estimated €15m per annum in revenue.

It has earned this through a yearly service charge: it is free for one year and is then charged at €1 per year thereafter.

But its growth is so fast – it is adding one million new users a day – that it could reach a billion users within two years. Even if a quarter of those users paid €1, that would yield €250m per year for a firm with just 55 employees and few overheads.

Irish Independent