Acquired

Season 4, Episode 3: Instagram Revisited (with Emily White)

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Feb 26, 2019
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ANECDOTE

The Instagram Acquisition

  • Mark Zuckerberg learned of Twitter's $525M offer for Instagram just before Facebook's IPO.
  • He invited Kevin Systrom to his house and offered $1B, leading to a weekend-long negotiation and acquisition.
INSIGHT

From Zero to Billions

  • Instagram, initially a 13-person team with no revenue, was acquired for $1B.
  • It now generates $14B, nearly a quarter of Facebook's revenue, proving doubters wrong.
ADVICE

Monetization Strategy

  • Monetizing a platform allows for greater control and future-proofing.
  • Prioritize user experience and platform identity when introducing ads.
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