Facebook, the social media giant that has revolutionized the way we interact and communicate with each other, bought Instagram in 2017 for $9 billion.
(When Did Facebook Buy Instagram)
Instagram had been an important platform for Facebook to grow its presence and reach a wider audience, as well as to create new products and services. However, over time, it had become clear that the company was unable to sustain its growth on its own, and so in 2016, it purchased Instagram.
The deal was made in a complex and legal manner, with Facebook paying $143 million for Instagram and dividing the proceeds equally among the two companies. This acquisition was significant for both Facebook and Instagram, as it allowed them to expand their business models and stay ahead of the curve in terms of technology and innovation.
At the time of the sale, Facebook was considered to be one of the most valuable companies in the world, with a market capitalization of $820 billion. The acquisition of Instagram helped to enhance this value by giving Facebook access to a vast and diverse user base, as well as new opportunities to engage with users through more targeted advertising and personalized experiences.
Since then, Facebook has continued to use Instagram as a key part of its strategy to drive growth and revenue. It uses the platform to build a larger ecosystem of cross-functional teams that are focused on creating innovative products and services, as well as to leverage the strengths of the existing social media platforms. Additionally, Facebook has continued to invest heavily in marketing and advertising on Instagram, using the platform to reach a wide range of users and generate revenue.
(When Did Facebook Buy Instagram)
Overall, the purchase of Instagram by Facebook was a strategic move that allowed the company to grow its presence in the global digital landscape and remain at the forefront of technological innovation. While there were some challenges along the way, including disagreements about how to pay for the acquisition and the potential impact on job security, the deal ultimately proved to be a positive step forward for both Facebook and Instagram.
