📺 Stream EntrepreneurTV for Free 📺

WhatsApp CEO Leaving Facebook Amid Reported Disputes The WhatsApp co-founder has been reportedly clashing with Facebook over data privacy issues like whether to weaken the messaging service's encryption.

By Michael Kan

entrepreneur daily

This story originally appeared on PCMag

via PC Mag

WhatsApp CEO Jan Koum, reportedly unhappy with parent company Facebook, has decided to leave.

Koum announced his departure on Monday; he said it was time for him to move on, and made no mention of any tension with Facebook. But according to The Washington Post, Koum has been clashing with Facebook over data privacy issues, including whether to weaken WhatsApp's end-to-end encryption, which it rolled out in 2016.

Facebook bought the mobile messaging service in 2014 for $16 billion, and at the time Koum said the deal would change "nothing" for WhatsApp users. However, the leaders from both companies have reportedly clashed over how Facebook could make money from its acquisition. Koum resisted his parent company's attempts to pull more data from WhatsApp users for advertising purposes. But in 2016, Facebook began collecting phone numbers from WhatsApp users so it could offer better friend suggestions and show more relevant ads.

To attract more advertisers to WhatsApp, there were also discussions about weakening the platform's end-to-end encryption, which essentially prevents anyone, including Facebook or WhatsApp, from reading the contents of messages sent over the service.

The Post, citing anonymous sources, said Koum had been "worn down by the differences in approach," but that his decision to leave came before the Cambridge Analytica scandal hit Facebook in March. The report went on to claim that other WhatsApp employees are also "demoralized" and plan to leave in November, when they can exercise all their stock options.

Despite the Post's reporting, Koum portrayed his departure in positive terms. "I'm leaving at a time when people are using WhatsApp in more ways than I could have imagined. The team is stronger than ever and it'll continue to do amazing things," he wrote in a Facebook post.

Facebook CEO Mark Zuckerberg also responded to Koum's post, saying he would miss working closely with him.

"I'm grateful for everything you've done to help connect the world, and for everything you've taught me, including about encryption and its ability to take power from centralized systems and put it back in people's hands," Zuckerberg wrote. "Those values will always be at the heart of WhatsApp."

Who will lead the messaging service in the interm isn't clear. Facebook and WhatsApp declined to comment on Koum's departure.

WhatsApp's other co-founder Brian Acton left the messaging service last year to start a nonprofit. But in another sign of tension with Facebook, Acton tweeted out support for the #DeleteFacebookMovement last month.

Koum said he plans on taking time off from technology, and will focus on other activities including "collecting rare air-cooled Porsches," and playing ultimate Frisbee. According to the Post, Koum also plans on leaving Facebook's board of directors.

Michael Kan

Reporter

Michael has been a PCMag reporter since October 2017. He previously covered tech news in China from 2010 to 2015, before moving to San Francisco to write about cybersecurity.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Growing a Business

Starting or Growing a Business? Here's How to Know When You Should Hire Your First Employee.

When enlisting help, follow these steps to make the best decision for your company.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Growing a Business

Your Comprehensive Guide to Becoming an SEO Expert – and Making Money While Doing It

Whether you're looking to earn more money or grow your digital presence, becoming an SEO expert could be a major windfall.

Business News

These 'Expressive Avatar' Deepfakes From a Billion-Dollar AI Startup Look Scary Real — Here's Who's Already Using the Technology

Is that a real person or an AI clone? New technology makes it nearly impossible to tell.

Business News

Southwest Airlines CEO Says the Company May Start Assigning Seats

The airline reported its Q1 2024 earnings on Thursday.