Zuckerberg talked Instagram CEO down from $2 billion

Mark Zuckerberg halved the asking price for Instagram in negotiations

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.

Tags: Android, facebook, Instagram, Kevin Systrom

Free Email Newsletter:
Subscribe

Shutterstock is the image partner of MyBroadband – technology images can be found here

Join the conversation

Connect with MyBB

twitterfacebookandroidappleblackberrynewsletterfeed

Poll

What is your preferred mobile platform?

View Results

Loading ... Loading ...

More News

New Eskom CEO to be appointed soon

Eskom light

A new Eskom CEO will be appointed in the next few weeks, Public Enterprises Minister Lynne Brown has said

Samsung Galaxy S5 Mini price in SA

Samsung Galaxy S5 mini press shot

South Africans keen on getting the Samsung Galaxy S5 Mini need not wait for it to launch through mobile network operators

E-tv fined R10,000 for “adult material”

e-tv

E-tv has been fined R10,000 for airing adult material before 8pm, the Broadcasting Complaints Commission of SA said

KykNET fined R30,000 for Tourette’s skit

Money

Afrikaans pay-TV channel KykNET has been fined R30,000 for broadcasting a programme mimicking people suffering from Tourette’s Syndrome

Free MyBroadband Newsletter:
Subscribe
X
bool(true)