Google acquires Waze in a deal believed to be worth almost $1 billion

One of the most speculated about acquisition sagas in recent times which had the likes of Facebook, Apple and Google fighting it out to acquire Waze has finally come to an end. Google today announced that is has officially acquired the Israeli mapping startup.

As we had reported a couple of days back, Brian McClendon, Vice President of Geo today wrote in a blog post that they would let Waze function independently, with the Waze team working out of their current office in Israel. He also paid tributes to the 45 million strong Waze community and promised that they would be consulted in what was needed for the community to grow and prosper.

Though the details of the deal weren’t revealed, a report on AllThingsD quoted a source as saying that the deal is worth $1 billion in cash, plus $100 million in performance payouts in cash and possibly stock to the Waze staff.

You can read the full blog post below:

Google Maps and Waze, outsmarting traffic together

We’ve all been there: stuck in traffic, frustrated that you chose the wrong route on the drive to work. But imagine if you could see real-time traffic updates from friends and fellow travelers ahead of you, calling out “fender bender…totally stuck in left lane!” and showing faster routes that others are taking.

To help you outsmart traffic, today we’re excited to announce we’ve closed the acquisition of Waze. This fast-growing community of traffic-obsessed drivers is working together to find the best routes from home to work, every day.

The Waze product development team will remain in Israel and operate separately for now. We’re excited about the prospect of enhancing Google Maps with some of the traffic update features provided by Waze and enhancing Waze with Google’s search capabilities.

We’ll also work closely with the vibrant Waze community, who are the DNA of this app, to ensure they have what’s needed to grow and prosper.

The Waze community and its dedicated team have created a great source of timely road corrections and updates. We welcome them to Google and look forward to working with them in our ongoing effort to make a comprehensive, accurate and useful map of the world.

Posted by Brian McClendon, Vice President, Geo