From In-Portal Developers Guide

What Prompted Facebook to spend $1 Billion for Instagram

Facebook recently announced its acquiring the mobile photo sharing app for a whooping $1 billion creating ripples available in the market. While Facebook lovers are ecstatic concerning the deal, Instagram die-hards communicated mixed emotions.

Amid the volatile competition along with the war-of-words (between your rival loyalists) the main question that happens is "Why did the social networking giant Facebook accept pay $1billion to a company without having revenue?"

We unlock the answers for you inside the following section of the article:

� It might

Based on Facebook's S-1 filing the company has lots of cash. Reports advise that Facebook carries a little under $4 billion cash hand, strong good reason that it might afford the deal.

� It desired to stay ahead competing

Facebook didn't want any other bidder (presumably Google) to grab Instagram and thus pushed its distance to freezing the sale using the retro-ized photo sharing app company.

� It wanted to revamp its mobile apps

Instagram being a mobile app is actually popular and Facebook mobile apps aren't such killers. Apparently Facebook buy bulk instagram likes desired to money on the mounting interest in Instagram by integrating it in the company to revamp its very own mobile applications.

� It wanted to pump freshness

Facebook offers some years and a few reports suggest that it isn't really cool anymore. Instagram reportedly had 30 million new users during buying. Facebook desired to pump the freshness of the users into Facebook and put in a fresh entice the widely popular social network.

� It wanted to open new avenues for users

Traditionally Facebook can be used to look at others' photos. And the company desperately planned to give itself a graphic makeover. All Facebook users is now able to utilize all sorts of cool filters on their Facebook photos and give the most effective photo sharing experience. "Providing the top photo sharing experience is one reason why more and more people love Facebook and now we knew it will be worth bringing those two companies together," said CEO Mark Zuckerberg.

� It wanted to target users with specific info for mobile ads

A food lover will share pictures of food while a swimmer is much more inclined to express pictures associated with pool and his/her swimming experiences. Instagram was specific about its user information while Facebook lacked those details. Facebook needed the actual user information to strengthen its database and perhaps utilize it for mobile ads.

� It wished to come on

Through the years Facebook had amassed great wealth and an incredible number of users. Experts advise that Instagram was allowing users to talk about live experiences and Facebook wished to get real with users. That is certainly one reasons why many original Instagram users still can't be prepared for the very fact about its sellout.

� It wanted to give users to savor the retro experience

Instagram is made throughout the idea of providing a retro experience to users. While Facebook was miles behind Instagram it opted to acquire the app maker rather than purchasing a rival app.

Facebook will probably be assessed by experts and analysts around the globe to view what best it can to its business with brand Instagram, in the end it paid a lot of money to buy rogues.