He applauded Facebook CEO Mark Zuckerberg for following what former Intel CEO Andy Grove used to preach in Silicon Valley: "'Only the paranoid survive.'"
"[Zuckerberg] was looking at the future saying, 'Hey, Facebook is great but we got to do other stuff to stay ahead of the game. I'm losing some of my younger followers. What can I do now.' And he made a big bet," Barrett told CNBC's "Squawk Box."
The Facebook-WhatsApp deal is mostly stock "so they're not wasting a lot of cash on it." Barrett said. "They really needed a communications play."
He noted that WhatsApp's announcement Monday that it plans to get into the "voice business to compete with Skype and Microsoft and other communication companies."
"In social media, the whole issue is the number of subscribers, the number of customers you have," he said. With more than 465 million monthly active users on WhatsApp, "you can't sneeze at that."
Zynga is showing off action game "Dawn of Titans," which the company is counting on to revive sales growth.
Apple may finally give us the iPhone feature we have always wanted.
A delay in production of Apple’s 12.9-inch iPad could actually be good news for the tech giant. Here's why.
Microsoft is betting big on Windows 10, but it's not just smartphones and PCs it wants to conquer.
Get the best of CNBC in your inboxTo learn more about how we use your information,
In the era of uber-connectiveness, here are three key things to keep in mind, says AT&T's mobile chief.
Bill Gurley, general partner at Benchmark, said Friday what he believes is the biggest problem presented by start-ups.
Morgan Stanley's Raj Dhanda tells CNBC's the IPO market is booming, but it's not for the inexperienced investor.