Anything that pulls people out of Facebook.com is competition to Facebook.
I venture to suggest that one of the top three killer features on Facebook for its consumers (i.e., its product) is quick and easy photo sharing, because Facebook is all about social gossip, and gossip is waaaay better with photos.
Instagram is about the only popular thing floating about that does photos as social gossip, so it makes plenty of sense for FB to buy them as a defensive move.
It's still a ridiculous price, but it's perfectly sensible strategy.
FB have absolutely no reason to care about Klout - it's numerical noise for nerds, and therefore irrelevant as far as actually retaining their product is concerned.
(The other two killer FB features are event management and textual gossip i.e. status updates.)
no subject
I venture to suggest that one of the top three killer features on Facebook for its consumers (i.e., its product) is quick and easy photo sharing, because Facebook is all about social gossip, and gossip is waaaay better with photos.
Instagram is about the only popular thing floating about that does photos as social gossip, so it makes plenty of sense for FB to buy them as a defensive move.
It's still a ridiculous price, but it's perfectly sensible strategy.
FB have absolutely no reason to care about Klout - it's numerical noise for nerds, and therefore irrelevant as far as actually retaining their product is concerned.
(The other two killer FB features are event management and textual gossip i.e. status updates.)