Facebook has acquired Tel Aviv, Israel-based start-up Onavo, a mobile analytics company, in a bid to make inroads into other emerging markets.
Onavo announced the acquisition on late Sunday, October 13, via a blog post. The start-up, however, did not disclose the amount or the terms of the deal.
"We've built world-class products and a remarkably talented team, which has pioneered important breakthroughs in data compression technology and mobile analytics," wrote Onavo's CEO Guy Rosen and CTO Roi Tiger. "Today, we're eager to take the next step and make an even bigger impact by supporting Facebook's mission to connect the world."
"Onavo will be an exciting addition to Facebook. We expect Onavo's data compression technology to play a central role in our mission to connect more people to the Internet, and their analytic tools will help us provide better, more efficient mobile products," said a Facebook spokesperson in a statement.
Onavo was founded in 2010 in Israel and makes data compression software, as well as provides analytic services for smartphone apps. The company's data compression app Onaco Extend released for both iOS and Android in 2011 and 2012, respectively.
"We're excited to join their team, and hope to play a critical role in reaching one of Internet.org's most significant goals -- using data more efficiently so that more people around the world can connect and share," revealed Onavo's Rosen and Tiger.
According to the deal, Facebook will acquire Onavo's office in Israel - the social networking giant's first office in the country. Even though the deal amount has not been disclosed, reports point to anywhere between $100 million and $200 million.
Lately, Facebook has focused greatly on strengthening its mobile business. Facebook benefits in several ways post Onavo's acquisition as the Onac Extend software will be handy for its 100 million users who deploy the Facebook for Everything app on feature phones.
Per Facebook, several million people in developing markets like Indonesia, India and the Philippines depend on feature phone technology to connect to the social network. They need not purchase expensive smartphones and can make do with basic handsets, which cost as little as $20.
Additionally, the acquisition of Onavo supports Facebook's new initiative, Internet.org, which attempts to connect everybody in the world. Lastly, Facebook will also have the opportunity of making inroads into a relatively new market i.e. Israel, especially given the burgeoning start-up scene in the country. Apart from Onavo, Facebook has also two other Israeli start-ups in its kitty - Face.com (facial recognition company) and Snaptu, a feature phone developer.
