Instagram’s Founders Quit. What Now?
A report surfaced on Monday night claiming that the cofounders of Instagram, Kevin Systrom and Mike Krieger, were leaving the company (Facebook) that acquired them for $1 billion.
Mr. Systrom and Mr. Krieger put out this statement on Monday night providing some explanation for their seemingly sudden departure.
This hasn’t prevented observers to point out the less-than-ideal situation this leaves Facebook in. Founder Mark Zuckerburg has used Instagram as a tool to provide investors and advertisers with the types of returns they expect while the bigger platform navigates the issues it’s faced recently. The New York Times even called it “the most sustained set of crises in its (Facebook’s) 14 year history.”
Additionally, there are some (like me) who can’t help but speculate that this may be a result of Facebook’s continual push to monetize Instagram at all costs. Much of the original UX that drew consumers to Instagram prior to the Facebook acquisition are completely gone and have been replaced by much more ad-friendly formats. The founders’ departure + the continual drive to monetize makes me agree with Web Smith’s (Founder of 2pm, Inc.) assessment:
I completely agree.
Facebook is strangely following the cycle that TV and radio did before them. I hate to say I saw this coming, but…
Paid isn’t enough on social…too many ads & consumers are tired of them. The same cycle that happened over 2-3 decades on TV is happening way faster on social bc of the volume
— Adam Vazquez (@AdamVazquez) June 27, 2018
But, it’s not all gloom and doom for Instagram. The influx in ad opportunities is going to continue to create more at-bats for B2B companies to navigate their way into the ad ecosystem and, to continue targeting their buyer as result. In fact, as the marketplace recognizes IG as an entirely ad-centric platform, consumers may become more accustomed to being advertised to from B2C and B2B companies.