Facebook Inc (NASDAQ:FB)’s bid to acquire mobile app maker Waze ended, according to AllThingsD.
The talks between the social networking company and the navigation startup company dissolved in recent days, due in part to conflict of whether Waze team should move to the United States, according to AllThingsD, citing external sources.
Last week, it was reported that Google Inc (NASDAQ:GOOG) might bid for the Israeli mapping startup company thereby thwarting Facebook’s efforts to buy Waze. The search giant Google Inc (NASDAQ:GOOG) was reportedly driving forward its plan to buy the Israeli company after Facebook Inc (NASDAQ:FB)’s bid became public earlier this month.
Google Inc (NASDAQ:GOOG) is reportedly considering a bid for the mobile mapping and navigation company Waze for $1 billion or more.
Facebook Reported To Buy Waze:
Facebook Inc (NASDAQ:FB) was earlier reported to be in advanced talks to buy Waze for between $800 million and $1 billion.
Some analysts felt the Waze acquisition would have provided potential revenue stream to Facebook Inc (NASDAQ:FB)’s mobile initiatives.
Israel-based Waze was founded in 2007. It has a mapping application for smartphones that alerts users to potential traffic slowdowns or suggests alternative routes to reach destinations. Users can also tap an icon to alert other users of road work, speed traps, and other potential hazards. Waze has only 11 of its 100 employees based in the U.S., while the rest are based in Israel.
Concept Espoused By Facebook:
Waze adopted a ground-up approach to build its social application, a concept espoused by Facebook Inc (NASDAQ:FB). This concept would have aligned well with Facebook’s vision of a social service.
Earlier this year, Apple Inc. (NASDAQ:AAPL) was reportedly in talks with Waze to purchase the company for $500 million. It was the kind of deal that would be ideal for the company that wants to incorporate their own mapping application on their smartphone and tablet.
Last year, Apple Inc. (NASDAQ:AAPL) tried to release its version of mobile apps to compete with Google Maps, but ultimately failed.
However Apple Inc. (NASDAQ:AAPL) CEO Tim Cook denied rumors of his company buying Waze at ATD’s D11 Conference on Tuesday.