"Magic Lab's move will be interesting to watch" says analyst from Online Dating Industry

- Facebook dating isn't a serious threat at this time, Facebook is a great company that I'm very bullish on.
Fundamentally it's a great value and it has higher growth than all the other FAANGs, without sacrificing Free-Cash-Flow, and it has a fairly wide economic moat. That being said, trust in Facebook is low and dating, especially online, isn't something people like to openly discuss.
Here is an article about trust in Facebook.
The company has Instagram, but Match Group's top portfolio companies already offer Instagram, Spotify, Snapchat, and even Pinterest integration, so this isn't a unique value add.
https://www.nbcnews.com/business/consumer/trust-facebook-has-dropped-51-percent-cambridge-analytica-scandal-n867011
 
- Magic Lab's move will be interesting to watch, but Match Group also does a lot of internal incubation, the problem is taking these new enterprises and monetizing them. I'd want to see a filing or at least some statistics on the adoption of these services and what is leading their sales growth.

- One of the big weaknesses of Match Group is that Tinder is basically holding up the ship, and delivering almost all of its revenue growth.

- I would also like to point out that dating apps are a unique animal and have a lot in common with social media. The big draw to Tinder, Bumble, and Hinge has been a non-webpage based platform (offers some anonymity) and it's free to use. Someone looking to either hookup or date is likely going to maximize their presence and make profiles across multiple platforms vs exhibiting loyalty to one brand alone. Because of this, there isn't as much a substitution dynamic, as much as a series of compliments.

- Tinder benefits from its large user base and the vice element of dating that leads users to splurge on a cheap monthly premium package. Hinge & Bumble do this as well. That being said, they supplement this with ad servicing and partnerships, such as with Spotify and Snap, to help subsidize the costs of the service. Overall, I would love to learn more about Bumble, if & when it goes public, but I don't see it wiping out Tinder as long as users still feel the urge to play the daily swipe lottery!

The owner of dating app Bumble (Magic Lab) said it plans to spend USD100 Million
http://onlinedatingsoundbarrier.blogspot.com/2019/06/the-owner-of-dating-app-bumble-magic.html

Tinder co-founder’s lawsuit against Tinder parent company moves closer to a trial
http://onlinedatingsoundbarrier.blogspot.com/2019/06/tinder-co-founders-lawsuit-against.html