- Tech Check April 11
Tinder, the explosively popular dating app, is now worth $5 billion, reports Bloomberg. Created just 20 months ago, the app syncs with your Facebook profile to scan your area for potential romantic partners. It now matches 10 million users a day.
Tinder's humongous growth is reason enough for its majority owner, Barry Diller's IAC, to buy another large stake in the company — and now the app is worth almost as much as its parent company. IAC purchased another 10 percent of Tinder from venture capitalist and early investor Chamath Palihapitiya for $500 million. That values the company at $5 billion, which is close to IAC's $5.57 billion market capitalization.
And like other quickly growing apps (see: Instagram or WhatsApp), it has yet to record a single penny in profit. Read more at Bloomberg.
Update: IAC CEO Sam Yagan tells Forbes that Tinder's valuation isn't $5 billion. While it's true that IAC did a transaction with Palihapitiya, the valuation "is nowhere near the truth." The firm actually bought a 10 percent stake for $50 million, which puts it at a $500 million valuation.- - Jordan Valinsky
THE WEEK'S AUDIOPHILE PODCASTS: LISTEN SMARTER
- 7 things the world's happiest people do every day
- Israel has only two choices: Eliminate the Palestinians or make peace
- Why are so many parents being arrested?
- 7 grammar rules you really should pay attention to
- 9 things you probably didn't know about the moon
- Why America is duty-bound to help Iraqi Christians
- 10 things you need to know today: July 22, 2014
- 29 adorable slang terms for sex (from the last 600 years)
- The biggest lesson Obama failed to learn from Bush
- What would a U.S.-Russia war look like?
Subscribe to the Week