Friday, 10 January 2014

Facebook acqui-hiring or acquiring Little Eye Labs?


One fine morning,I came to know about Facebook acquiring Bangalore-based startup Little Eye Labs making it the social networking colossal’s first acquisition in India. Little Eye Labs Builds mobile app analysis tools for app developers & testers. These tools provide detailed insights about the behavior of the app, enabling easy benchmarking and optimization of resources. Little Eye Labs has received seed round of funding from GSF Superangels and VenturEast Tenet Fund.

So is it a "acqui-hire"?

Facebook being the most active acqui-hirers has undoubtedly bagged a group of great tech freaks who call themselves "ions". An acqui-hire is when a larger, [presumably] thriving company scoops up a younger, [presumably] struggling company. The acquirer is generally not interested in the startup’s product, but rather in getting its hands on a team of engineers with a history of working together. “It is worth noting that acqui-hires are hard to isolate & identify. Competition for talent — specifically developer talent — is fierce. Sometimes it is easier to shell out the cash for a fledging startup, rather than spend time and resources wooing developers. “Some are obvious as the acquirer states it, but many acqui-hires inevitably get dressed up as acquisitions in an attempt to put lipstick on a pig.” (source:venturebeat)
The entire Little Eye Labs team will move to Facebook’s headquarters in Menlo Park, California. Both the parties have confirmed about this acquisition. It is approximately worth 90 crores. It has been learned that facebook have got it at a huge bargain!The entire Little Eye Labs team will move to Facebook’s headquarters in Menlo Park, California. Both the parties have confirmed about this acquisition. It is approximately worth 90 crores. It has been learned that facebook have got it at a huge bargain!

This seems to be one of those but then this deal is not just beneficial for Facebook-- it may be a whole new start for the startup community in India.

Do share your views on this acquisition made by the social-networking colossal-Facebook !!




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