- 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
- Obama just kneecapped Jeb Bush and Chris Christie's 2016 prospects
- It's official: The religious right is calling it quits
- 6 tiny scientific mistakes that created huge disasters
- 10 things you need to know today: November 22, 2014
- 43 TV shows to watch in 2014
- The dangerously childish morality of liberal ObamaCare supporters
- 10 classic Sesame Street moments we wouldn't show today's kids
- The Hunger Games: Mockingjay — Part 1: 10 major differences between the book and the movie
- How to be the most productive person in your office — and still get home by 5:30 p.m.
- The myth of the stay-at-home dad
Subscribe to the Week