Zuckerberg talked Instagram CEO down from $2 billion

Mark Zuckerberg halved the asking price for Instagram in negotiations

By - April 18, 2012
Facebook

Facebook’s acquisition of Instagram for $1 billion (R7.79 billion) was concluded by Mark Zuckerberg without the help of bankers or his own board of directors according to a report by the Wall Street Journal.

Zuckerberg currently controls 57 percent of Facebook, and had all but closed the deal with Instagram CEO Kevin Systrom before informing his own board of directors.

The board “was told, not consulted” about the deal on 8 April, a day before the rest of the world learned about the acquisition.

Negotiations began on 5 April when Zuckerberg called Systrom and invited him to meet at the Facebook CEOs home.

Two days before negotiations between Zuckerberg and Systrom commenced, Instagram released a version of its application on Android. This saw its membership base grow at a rate of 2,000 people per minute, adding 10 million members in 10 days.

This explosive growth is what appears to have attracted Zuckerberg to Instagram, who has yet to record any revenue.

Read the full story at: Cnet.

Forum discussion

Shutterstock is the image partner of MyBroadband – more technology images

Join the conversation

Connect with Us

androidappletwitterfacebookgoogleplusfeednewsletter

Poll

Which brick-and-mortar store do you use most often to purchase technology products from?

View Results

Loading ... Loading ...

More News

Awesome weapons made in South Africa

NTW-20

When it’s time to bring out the big guns, South Africa delivers some serious firepower.

Internet access in South Africa: best and worst provinces

South Africa Internet

Statistics South Africa’s 2014 General household survey reveals which South African provinces are the best connected.

Can you identify these old tech products?

Old Tech

You should take this MyBroadband quiz to see how many vintage technology products you can identify.

Eskom load shedding update: 27 May

Stage 1 load shedding Eskom

The latest on load shedding from Eskom.

X

Newsletter Subscription


Name
Email *
Enter the following to confirm your subscription *
Captcha image


Free MyBroadband Newsletter
Subscribe
X
bool(true)