Google has acquired Israel-based community traffic and navigation app company Waze. Google Maps will start incorporating Waze traffic update features, says Google. Waze will be using Google’s search capabilities.

Noam Bardin (CEO, Waze): Why not stay completely independent? We asked ourselves: “Will Waze still be a fun project to participate in, and a fun place to work, as a stand-alone public company?” Choosing the path of an IPO often shifts attention to bankers, lawyers and the happiness of Wall Street, and we decided we’d rather spend our time with you, the Waze community.

While the companies did not reveal the size of the transaction, the deal is reportedly worth $1 billion in cash. Additionally, there is expected to be a $100 million in performance payouts.

The Waze product development team will remain in Israel and operate separately for now, says Google.

[Image courtesy: Waze]