In order to stay on top of the social networking media; Facebook has made some techie buy outs. One billion dollars was the price that Instagram agreed to in order for Facebook to own the company. The social network is one of instant gratification and plays hugely on image based information. Users like to look at pictures rather than read a page full of text. As they say a picture is worth a 1000 words; Facebook raised the bar to a billion.
What is Instagram?
While there is a reported 30 million users that are currently using Instagram there was not to much buzz beyond that until Facebook bought the company. The company launched in 2010 and allowed its users to snap a photo on their smart phone, add a unique filter, and then share it among the social networking sites.
Why Facebook bought it
In retro spec Facebook has a large responsibility under their belt; to remain the most used social network on a global level. Along with the current updates with smartphones it is no surprise that the newest techie buy is one that is stemmed from mobile devises. In fact the desktop may become obsolete in the near future versus notebooks, tablets, and blackberries. Other social network attempts like Yahoo and Flickr flopped and with Google+ offering live video chat; it only made sense for the market team of Facebook to up the ante just as the company goes public. With a reportedly net worth over 30 billion dollars it is assumed that the CEO of Facebook chose to purchase Instagram to insist that they will remain the leader in social networking.
Many phone companies are collaborating with software systems that are in play with PC users. The younger generation makes up almost half of the mobile and social users; companies who want to succeed will have to adapt to their usage and way they communicate. Images that are exchanged on Facebook is the most popular waves of communication; Facebook knows this and wanted to interchange the two. As the new techie social networks start to develop more mainstreaming and faster connections; it is safe to assume that the reigning ones already in play will adhere to the new changes. Instagram and Facebook is predicted to merge with a booming stride and perhaps finally breaking the billion mark for Facebook earlier than expected.