Facebook buys Instagram for $1 billion

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After enjoying monumental growth in its userbase after releasing the Android version of its app, Instagram has once again managed to score a major victory today. Facebook has announced that it would be acquiring Instagram, for $1 billion in a combination of cash and shares of Facebook.

Mark Zuckerberg, founder and CEO of Facebook, posted about the transaction on his Timeline, saying that “I’m excited to share the news that we’ve agreed to acquire Instagram and that their talented team will be joining Facebook. For years, we’ve focused on building the best experience for sharing photos with your friends and family. Now, we’ll be able to work even more closely with the Instagram team to also offer the best experiences for sharing beautiful mobile photos with people based on your interests.”

“Every day that passes, we see more experiences being shared through Instagram in ways that we never thought possible,” said Kevin Systrom, CEO of Instagram in a blog post.  “It’s because of our dedicated and talented team that we’ve gotten this far, and with the support and cross-pollination of ideas and talent at a place like Facebook, we hope to create an even more exciting future for Instagram and Facebook alike.”

“It’s important to be clear that Instagram is not going away. We’ll be working with Facebook to evolve Instagram and build the network. We’ll continue to add new features to the product and find new ways to create a better mobile photos experience.”
That doesn’t mean that Instagram will now close its doors to other social networks. Far from it. “We think the fact that Instagram is connected to other services beyond Facebook is an important part of the experience”, said Zuckerberg.  “We plan on keeping features like the ability to post to other social networks, the ability to not share your Instagrams on Facebook if you want, and the ability to have followers and follow people separately from your friends on Facebook.”