Facebook Beat Twitter to Instagram

CommanderFrank

CommanderFrank

Cat Can't Scratch It
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Instagram owners must have felt like the belles of the ball this week, even before Facebook planked down one Billion dollars for the photo sharing program. Facebook was not the only suitor wooing the company; Google and Twitter were also vying to win the hand of the fair company.

Not only did Facebook beat Google to the purchase of Instagram, but it also beat out Twitter, according to a recent rumor. Twitter co-founder and Instagram investor Jack Dorsey was hurt.
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I still fail to see how that joke of an app was worth a billion...


Did they have some key patents or something?
 
Zarathustra[H];1038610985 said:
I still fail to see how that joke of an app was worth a billion...


Did they have some key patents or something?
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Yes.

That and a phone only social network that rivals that of everyone but Facebook.
 
techrat said:
That and a phone only social network that rivals that of everyone but Facebook.
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Really?


I guess there was more to it than I thought. I was under the impression it was only a goofy app for taking pictures, applying some goofy faux-Photoshop filter and then sending it to your friends...
 
Zarathustra[H];1038611343 said:
Really?


I guess there was more to it than I thought. I was under the impression it was only a goofy app for taking pictures, applying some goofy faux-Photoshop filter and then sending it to your friends...
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I'm with you there Zara.....I still think it's just a goofy app. It just happens to have a social network attached.
 
Zarathustra[H];1038611343 said:
I was under the impression it was only a goofy app for taking pictures, applying some goofy faux-Photoshop filter and then sending it to your friends...
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Yes, it is only a goofy app for taking pictures, applying some goofy faux-Photoshop filter and then sending it to your friends, it just also happens to have 27 million users.

Facebook currently has 800 million users, and private equity firms value it at $100 billion (you might disagree, but they're the experts). This equates to each user being worth $125.

Now, most instagram users most likely already use facebook, so multiplying $125 x 27 million is not a good value of instagram (comes out to $3.4B). But facebook only paid a third of that, and now they have the most popular app for taking smartphone pictures, and they can mine all those pictures for additional data, as well as being able to increase user retention with name-brand photo integration.

It's never been about what a program does, it's about how many people use it.
 
techrat said:
Yes.

That and a phone only social network that rivals that of everyone but Facebook.
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Not quite true. There are PC and Mac Instagram clients that do everything the phone app does except upload which is obviously an artificial restriction.
 
heatlesssun said:
Not quite true. There are PC and Mac Instagram clients that do everything the phone app does except upload which is obviously an artificial restriction.
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Not much of a social network if you can't participate.
 
techrat said:
Not much of a social network if you can't participate.
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True, I was simply pointing out that you can use Instagram on a PC or Mac and it's not really a big deal to simply upload from a phone. Honestly, working with photos is a lot easier on a large screen.
 
heatlesssun said:
True, I was simply pointing out that you can use Instagram on a PC or Mac and it's not really a big deal to simply upload from a phone. Honestly, working with photos is a lot easier on a large screen.
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True, but this is instagram. Not take a photo, download it to the PC, run some filters, edit the crappy phone quality picture on a larger screen.
 
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