Facebook and Instagram have become two of the most popular social media networks in recent years, with billions of users across the globe accessing them every day. The two platforms are closely related, as Facebook acquired Instagram in 2012 for $1 billion dollars, making it one of their largest acquisitions to date. In this article we will discuss why Facebook decided to purchase Instagram, what challenges they faced during the acquisition process, and how it has impacted both platforms since then.

did facebook sell instagram
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Facebook was founded in 2004 by Mark Zuckerberg and a group of Harvard students, quickly becoming one of the most popular social media networks in history due to its innovative features such as photo sharing and status updates. On the other hand, Instagram was created by Kevin Systrom in 2010 as an image-based social network that allowed users to share photos with their followers. By 2012, it had grown exponentially in popularity and caught the attention of many businesses including Facebook who saw potential in acquiring it for their own platform.

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The main reason why Facebook decided to purchase Instagram was because they wanted to increase their user base by tapping into a younger demographic that was more likely to use mobile devices than desktop computers or laptops. Additionally, they also wanted to gain access to valuable data about user behavior which could be used to target ads more effectively on both platforms. Furthermore, they wanted to ensure that no other rival companies could acquire it first which would have posed a threat to their dominance in the social media landscape at that time.

Despite all these benefits however, there were still some challenges that had to be dealt with during the acquisition process such as regulatory approval from various government agencies around the world as well as convincing shareholders that it was a wise investment decision for them despite its hefty price tag at $1 billion dollars. To add further complexity into the equation, Instagram’s founders had initially turned down offers from other tech giants such as Google before eventually agreeing on terms with Facebook after months of negotiations between both companies . Eventually though after months of negotiations between both companies, all these issues were resolved and Facebook officially acquired Instagram on April 9th 2012 for an undisclosed amount but estimated at around $700 million dollars after taxes and other expenses were taken into consideration .

Since then, both platforms have grown significantly in terms of user base and revenue generated from advertising campaigns targeting users on either platform separately or together using cross-promotion techniques such as sponsored posts or sponsored stories which appear on both networks simultaneously . Furthermore, due to its massive reach across multiple countries worldwide , businesses now have access to a larger audience than ever before when running marketing campaigns using either platform independently or together . This has resulted in an increase in profits for many businesses who use these channels effectively .

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Additionally , since being acquired by facebook , instagram has seen multiple new features added onto its platform such as stories , live videos , direct messages & IGTV which have helped boost engagement levels amongst users & advertisers alike . This has allowed businesses & influencers alike access new ways of reaching out & connecting with potential customers & fans through creative content posted onto instagram directly or shared via facebook’s news feed feature .

In conclusion , it is clear that although there were some challenges faced during its acquisition process , Facebook's decision to purchase Instagram has been extremely beneficial for both companies . Not only has this allowed them access to valuable data about user behaviour , but also given them access to wider audiences around the world which can be used for targeted advertising campaigns . To find out more about how you can leverage these platforms for your business , get in contact with Galaxy Marketing today! For any further questions regarding this topic please refer our FAQ section below :

FAQS:

Did facebook sell instagram ? No , facebook acquired instagram from its original founders Kevin Systrom & Mike Krieger back in 2012 .