Instagram, the photo-sharing app, has been making headlines lately since Facebook decided to acquire it for $1 billion. Now, a New York Times report suggests that the deal was rather hastily reached between Instagram and Facebook. And that Twitter, too, had intents of buying the company and that the deal may sour the relations between Twitter and Instagram.
Even before the NYT report, there had been rumors that the founder of Instagram, Kevin Systrom, had no plans of selling his company just weeks before he sat down with folks from Facebook. Apparently, Facebook must have made him an offer that he could not resist because he had plans of keeping Instagram independent and sailing the tide alone. According to the report, the deal took a mere two days to finalize.
Interestingly, the report also hints that Twitter wanted to acquire Instagram too. Twitter’s founder Jack Dorsey had supported Instagram and had also expressed his interest in buying the company, though apparently Systrom told him off since he had no plans of selling the company back then.
The extra-ordinary haste in which the deal was sealed between Facebook and Instragram is manifest in the fact that Instagram had just completed a second round of funding. This essentially shows that the company was doing great and had all plans of staying independent. Also, as a result of the acquisition, relations between Twitter and Instagram are not expected to stay normal and Dorsey has already stopped using Instagram.
Image courtesy beta.
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