Face.com Is Definitely Being Acquired By Facebook

Face.com is helping people find photos, using our home grown best-in-breed facial recognition technologies. The first deployment of our tech is our Photo Finder application for Facebook, today’s largest photo sharing site, which scans public photos in your social network and suggests tags for untagged faces. face.com has offices in Tel Aviv and New York.

The purchase of Face.com by Facebook is happening and is a done deal, say multiple sources.

To review: the facts on the ground to date are:

• Israeli business publication Calcalist first reported (in Hebrew) that Facebook was looking to purchase Face.com.

• The deal size has been put at $80 million and $100 million. We’re calling it at $100m.

• Face.com’s technology is a natural acquisition target for Facebook. Photos are core to Facebook’s lock-in strategy and facial recognition allows tags to better reflect the social graph, which then feeds into making its advertising platform more efficient.

• There is evidence the two companies have been talking for some time (after all, Face.com appeared in 2007) but a price was never agreed until now. A post-IPO Facebook can now afford it.

• Face.com’s popular Facebook application Photo Tagger allows people to scan their (or their friends’) photo albums for known faces. It also has the iOS facial recognition app KLIK and a public API that could benefit Facebook.

• Facebook’s own camera app could integrate the Face.com API.

• Face.com has so far raised $5.3 million from Yandex and Rhodium