Most of us are familiar with Whatsapp.
To techies (and Wikipedia), it is a freeware and cross-platform messaging and voice over IP (VoIP) service owned by Facebook, but to us average beings, it’s just a fun platform where we send texts, make voice and video calls, share files and other media with friends (and family).
Now a few of us might not know it was written in ‘Erlang’ and founded Feb. 24, 2009 (about 9 years ago) by Jan Koum and Brian Acton, but what we do know is that we can’t seem to do without it.
Our friends are putting up great and funny stories, you’re probably hurriedly going back to read replies or even put up what you think is interesting or funny.
For entrepreneurs interested in start-ups and SMEs, we often tend to wonder how a simple app evolves into an app or service that millions cannot do without.
We often also wonder what it’s like being in the shoes of the founders or co-founders before the big break.
Well these thoughts led me to putting up a series on my blog:
How it all Started (HiaS) which would feature different startups, brands, founders/ co-founders, CEOs, etc. looking at their lives from past till present.
HiaS.1: Whatsapp, Jan Koum, Brian Acton.
Whatsapp was founded by Jan Koum and Brian Acton as mentioned earlier and the current CEO is Chris Daniels. It is also owned by Facebook which acquired it for about US $19.5 BILLION.
As at February this year, Whatsapp has a user base of over one and a half billion, which makes it the most popular messaging app at the time.
Now, let us look deeply at the biography of the founders.
Brian Acton
He is American and is a computer programmer and internet entrepreneur.
He was born on Feb. 17, 1972 (46 years) in Michigan but he grew up in Central Florida.
He graduated from Lake Howell high school after which he received a scholarship to study engineering at the University of Pennsylvania but left after a year to study at Stanford University with a degree in Computer science.
When he was 20 years old, he became a systems administrator for Rockwell intl. before becoming a product tester at Apple inc. and Adobe systems.
In 1996, (four years later), and two years after his graduation from Stanford, he became the 44th employee hired by Yahoo Inc.
In 1998, Jan Koum was hired by Yahoo as an infrastructure engineer shortly after he met Acton while working at Ernst & Young as a security tester.
For the next nine (9) years, they worked at Yahoo during which he invested in the dotcom boom of 2000 and lost millions.
In Sept. 2007, he left Yahoo and spent a year travelling around South America.
They both applied, and failed to work at Facebook.
In Jan. 2009, Koum bought an iPhone and discovered that the seven month-old app store had a whole lot of new industry apps.
He visited his friend, Alex Fishman and talked about developing an app.
Koum almost immediately chose the name Whatsapp because it sounded like ‘What’s up’, and a week later on his birthday, Feb. 24, 2009, he incorporated Whatsapp Inc. in Caliornia.
In 2014, Koum and Acton agreed to sell Whatsapp to Facebook for approximately $19 billion USD in cash and stock.
It is worth noting that, at the time, Acton held over 20% stake in the company, making him worth about $3.8 billion.
In Sept. 2017, Acton left Whatsapp over a dispute with Facebook regarding monetization of Whatsapp and now he has a foundation called Signal foundation, co-founded with Moxie Marlinspike in 2018, and is currently worth $6.0 billion USD.
He is married to Tegan Acton.
Jan Koum
Jan Koum is a Ukrainian American entrepreneur and computer programmer.
He was born on Feb. 24, 1976 (42 years) [Kyiv, Ukrainian SSR, Soviet Union] but currently resides in Santa Clara, California, United States.
He is currently worth US $9.2 billion and in 2014, he entered the Forbes list of the 4000 richest Americans at position 62, with an estimated worth of more than $7.5 billion.
He was born in Kyiv, Soviet Union and is of Jewish origin, but grew up in Fastiv, outside Kyiv.
He moved with his mother and grandmother to Mountain view, California in 1992 (when he was 16 years old), where a social support program helped the family secure a small two-bedroom apartment.
His father intended to join the family later, but never left Ukraine and died in 1997.
Koum and his mother stayed in touch with his father until his death.
At first, Koum’s mother worked as a babysitter, while he himself worked as a cleaner at a grocery store.
His mother died in 2000 after a long battle with cancer.
At age 18, Koum became interested in programming.
*(It is no doubt that environment influences a person’s mind-set and interests).
He enrolled at San Jose State University and simultaneously worked at Ernst & Young as a security tester.
He also joined a group of hackers that began in 1996 called w00w00, where he met the future founders of Napster, Shawn Fanning and Jordan Ritter.
In 1997, Koum met Brian Acton while working at Ernst & Young as a security tester.
He was also hired by Yahoo later in 1997 after which he left in 2007 travelling around South America and playing ultimate Frisbee.
Whatsapp was initially unpopular, but its fortunes began to rise after Apple added push notification ability to apps in June 2009.
Koum changed Whatsapp to “ping” users when they received a message and soon afterwards he and Fishman’s Russian friends in the area began to use Whatsapp as a messaging tool in place of SMS.
The app gained a large userbase and Koum convinced Acton, who was then still unemployed to join the company. Koum granted Acton co-founder status after Acton managed to bring in $250,000 in seed funding.
0n Feb. 9, 2014, Zuckerberg asked Koum to have dinner at his home, and formally proposed Koum a deal to join the Facebook board.
10 days later, Facebook announced that it was acquiring Whatsapp for US $19 billion.
Over the first half of 2016, Koum sold more than $2.4 million worth of Facebook stock, which was about half of his total holdings.
On April 30, 2018, Koum announced that he was leaving Whatsapp and stepping down from Facebook’s board of directors due to disputes with Facebook.
It was originally thought that by leaving Facebook, he was forfeiting his unvested stock, worth almost $1 billion. However, several months later it was discovered that he was still formally employed by Facebook, earning a reported $450 million in stocks from the company through a method called “rest and vest”.
Koum has always made it clear that he is not driven by money but the desire to build useful products.
*I guess he achieved both.
Source: Wikipedia (List of Internet entrepreneurs).
as edited by Wisdom Okubo.
(P.s) - paragraphs with asterisk (*) stand for author's comments.