Facebook Buys Instagram

A photo sharing app, a social media giant, food for bloggers like us ;) and a lot of whys and what-fors!! Not a tough puzzle is it!! All combined together to create a deal that many experts are putting as a defensive one: Facebook bought the 2yr old photo sharing app Instagram for a whooping 1bn USD. The deal marks the biggest one in Facebook history in terms of money spent.

Although all smart phones allow the social sharing from nearly all of their camera apps, so why was this deal important? In a way the social media giant just bought a camera, just that in this case the camera happens to be very famous in the recent past, supposed to be generating a lot of traffic and somehow was viewed as one of the competitor to the social media company as far as the photo sharing and collection goes. Doesn't matter that the deal was worth a billion in US dollars and the amount just seems like a drop in front of the Facebook's IPO evaluation.

Instagram has generated a lot of buzz with its nearly 30 million user base producing quality content. Not only the app is famous with the Apple iPhone/iPad users but it also found the long awaited love from the Android community as well, just like we stated in the previous post on Instagram. The quality of images being shared on Instagram is very well known and in that way the step from Facebook seems pretty obvious and sensible. Comparing the images shared on either we know the winner would be obvious as far as the quality parameter is concerned. Facebook gains from this deal vary from parameter to parameter on which you start analyzing the move. All in all we thought the below ones apply well from which ever point you think about the deal, obviously from Facebook's perspective. The photo sharing app CEO and team would be happy to be part of a company that has been the leader of sorts in social media and as it stands right now it seems that will stay the same. And obviously the amount settled for the deal is well worth for a no revenue company.

1. Facebook being a leader in the browser world and not so much in the mobile area, would love some authority in there. No doubt Instagram has proved in couple of years since the start that it pretty much is able to do that.
2. As of now, user could share photos taken from Instagram but now a) Facebook gets to keep the content generated and b) it comes directly to them from the mobile ecosystem to their platform possibly via Open Graph.
3. Facebook to Instagram to third party apps! Instagram should have some third party app developers tied to them, these will now be part of Facebook indirectly and thus creating a new  way for the social media giant to (may be) use the Facebook Credits in a manner that it works pretty well than it does now.
4. Lets accept that photos for Facebook (of whatever quality trend) are a huge interactive points for the user base on their platform. Buying a platform that works so well with photos will not only make interactive freak out but for sure will improve the quality to no bounds.

You think we missed out in the list any points that may be more important to the realization of the deal, let us know in the comments!!