Facebook Acquires Gowalla

December 5th, 2011 at 3:10 pm
 


It has recently been reported by CNN that the popular social networking site Facebook has just recently acquired Gowalla. This company runs a location-based sharing service similar to the functions offered by more popular and direct competitor Foursquare. The deal has not yet been confirmed by Facebook and so, the money paid for the acquisition has remained undisclosed.

Gowalla started as a location-based service in the mold of the now popular Foursquare. But unfortunately, Gowalla lost out in terms of user adoption. This led Gowalla to veer into other territories. They changed their focus into becoming somewhat of a location-based travel guide service. Gowalla has been up for sale for sometime after it lost out on Foursquare on the location-based service battle. So it is not a surprise that it might agree to being acquired by Facebook.

According to stories going in and out, Facebook may have bought Gowalla for its talent pool. It is said that the people acquired along with Gowalla will be helping develop Facebook’s Timeline feature, which is being rolled out gradually for use by its users that has reached 800 million strong. This might probably show signs of concerns for users of Gowalla. After all, Facebook has been known to acquire companies mainly because of their talent pool.

The social networking giant has also been known in the past to have killed other online services offered by the companies that it acquired. They do this in order to get those talents to focus more on Facebook’s own features. It is not clear yet whether Facebook may be doing the same thing for Gowalla. Official word from both companies of the said deal will help put such issues into order. But so far, none has come out yet with the real deal on the matter.

 

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