Home » Money

Instagram departures hit Facebook shares

26 September, 2018, 19:16 | Author: Lawrence Cooper
  • Instagram's Kevin Systrom and Mike Krieger will apparently leave in a matter of weeks

Instagram on Monday said co-founders Kevin Systrom and Mike Krieger have resigned as chief executive officer and chief technical officer of the photo-sharing app owned by Facebook Inc, giving scant explanation for the move.

Facebook bought Instagram in 2012 and since then, the co-founders have been managing its operations.

Instagram this summer topped 1 billion monthly active users and has 25 million businesses that maintain accounts on the service. Yet Facebook has launched recent initiatives encouraging SMEs to place ads in Instagram Stories, its answer to Snapchat.

Instagram accounts for Facebook's fastest growing slice of revenue.

If you're a fan of Instagram, and many hundreds of millions of you are, there are plenty of reasons to be anxious about a pair of resignations that came out of nowhere Monday night, sent tech Twitter into a tizzy and signaled the arrival of a significant new chapter for the biggest social networking company on the planet. People still loved it, to a degree that they haven't loved Facebook for years now, if they ever did.

Given Facebook's slowing growth and newer challenges, the company's leadership saw Instagram as the next obvious golden goose. Its rapid growth and user engagement caught the eye of Facebook, which was on the lookout for any services that might threaten its dominance of the social network space.

Second North Korea summit 'quite soon'
Moon said he will discuss with Trump what their corresponding measures could be when they meet on the sidelines of the UN. Trump said Secretary of State Mike Pompeo is working out the details for the second Trump-Kim meeting.

Kavanaugh says he won't let 'false accusations' push him out
The Supreme Court is 229 years old and women have had the right to vote in this country for less than a century. Here are four reasons why Ramirez's accusations are even weaker than Christine Blasey Ford's .

Kerala nun rape case: Accused Franco Mulakkal arrested
NDTV reported that the accused Bishop arrived at the Crime Branch Office along with a counsel and other priests at around 11 am. She said she had to approach the police as the church authorities did not act on her repeated complaints against the clergyman.

Following the WhatsApp departures a series of executives increased Zuckerberg's ability to influence day-to-day running of the previously relatively independent entities.

A similar conflict was also seen regarding pushing Facebook notifications inside Instagram and a Facebook button inside Instagram's settings.

More recently, though, it's been Facebook that needs Instagram more than the other way around, and that makes the departure of the Instagram founders a particularly painful sting. Crucially, Instagram is popular with teens and young people, a demographic Facebook has had trouble keeping.

"Instagram is the new Facebook, much more than it's the original Instagram", said a tweet from Benedict Evans, a venture investor with Andreessen Horowitz who blogs on the tech sector. They continued to run the image-sharing app until its Facebook acquisition in 2012, the BBC reports. Instagram has also largely remained insulated from the issues plaguing its parent company, and it continues to grow.

So far this year, the company has said goodbye to WhatsApp CEO Jan Koum, Head of Communications and Public Policy Elliot Schrage, VP of Partnerships Dan Rose and Chief Security Officer Alex Stamos.

It comes after months of chaos and scandals for Facebook. Now, he said, they are ready for their next chapter. "In the near term, we expect Facebook shares to come under meaningful pressure from the departures".

Recommended:

  • Samsung reportedly launching world's first quad-camera smartphone Galaxy A9 (2018)

    Samsung reportedly launching world's first quad-camera smartphone Galaxy A9 (2018)

    The teasers reveal that the smartphone will be equipped with Dolby Atoms for surround sound experience and triple rear cameras . The Galaxy A7 will be available in select European and Asian markets soon and expand to additional markets later.
    Deputy AG Rod Rosenstein to resign

    Deputy AG Rod Rosenstein to resign

    Trump is vowing to weed out the "lingering stench" of hostility toward him that he says exists inside the Justice Department. While Laura Ingraham initially urged Trump to fire Rosenstein, Sean Hannity pleaded with the president not to act.

    May says European Union response to UK Brexit plan 'unacceptable'

    May will face tough questions at her Conservative Party's annual conference, which begins September 30. To deny its legitimacy or frustrate its result threatens public trust in our democracy.
  • Ronaldo, Messi lacked respect with FIFA Best awards snub - Capello

    Ronaldo, Messi lacked respect with FIFA Best awards snub - Capello

    Modric who guided Croatia to the world cup final for the first time , becomes the first Croatian player to win the award. Though a female has yet to win the award, Irish professional Stephanie Roche was shortlisted to the top three in 2014 .
    BMW Championship: Tiger Woods ties course record with opening round 62

    BMW Championship: Tiger Woods ties course record with opening round 62

    Woods said much of Thursday's success was down to him dusting off the 19-year-old putter he used for 13 of his 14 major wins. I didn't make any putts", Woods said after the second round. "Whenever you hit it like that, it's hard not to make birdies".
    Trump crushes Iran oil exports ahead of sanctions

    Trump crushes Iran oil exports ahead of sanctions

    The move was in retaliation for President Donald Trump's planned levies on $200 billion worth of Chinese goods. Lipow Oil Associates President Andy Lipow on how Hurricane Florence has impacted the USA oil industry.
  • Oil rises on U.S. crude stock draw, supply concerns

    Oil rises on U.S. crude stock draw, supply concerns

    US President Donald Trump took to Twitter on Thursday in an effort to persuade OPEC to increase production and ease prices. Speaking of oil, recently oil prices were increased by 1.6% in the USA , as the US stocks fell by 5.3 Million barrels.
    Emery hails Cech as Arsenal keeper frustrates Everton

    Emery hails Cech as Arsenal keeper frustrates Everton

    Aaron Ramsey and Mesut Ozil will look to support Alexandre Lacazette and Pierre-Emerick Aubamayeng. However, his form is usually inconsistent and according to many, he has failed to mature his game.
    Pricey new iPhones make debut in Japan

    Pricey new iPhones make debut in Japan

    Interestingly, Apple has also reduced battery capacity this time with the iPhone XS, but hasn't compromised on the performance. While they're perhaps a touch dormant on new release devices, Huawei are far from inactive in the marketing space.
  • Bills stun Vikings 27-6 in rookie Josh Allen’s 1st road start

    Bills stun Vikings 27-6 in rookie Josh Allen’s 1st road start

    The Bills dominated Kirk Cousins and the Vikings on Sunday, forcing three turnovers en route to a shocking 27-6 blowout victory . The team released it's game day roster ahead of its matchup against the Vikings , and the running back wasn't listed as active.
    Was Chuck Grassley’s tweet to Brett Kavanaugh meant to be a text?

    Was Chuck Grassley’s tweet to Brett Kavanaugh meant to be a text?

    Ford alleges that Kavanaugh sexually assaulted her when they were both teenagers in the Maryland suburbs in the 1980s. It's unclear whether Saturday's discussions between Ford and committee leadership resolved any of the details.
    India and Pakistan call off foreign ministers' meet after Kashmir deaths

    India and Pakistan call off foreign ministers' meet after Kashmir deaths

    The meeting was scheduled to take place in NY later this month on the sidelines of UN General Assembly session. Elections were near in India and anti-Pakistan slogans sell in India, he remarked.


Popular

Ramirez's Lawyer Said She Is Willing To Testify, Possibly Without FBI Probe
Ford and all women to be truly listened to and heard, and Republicans need to stop trying to just rush this through", Sen. A major slip-up could endanger Kavanaugh's confirmation and create political pain for the GOP in the midterm elections.

Real Madrid's New Stadium Looks Like A Collapsed Slinky
Real Madrid Baloncesto, who play in both Liga ACB and the EuroLeague, are the most successful basketball team in Spanish and European history, with a record 10 EuroLeague titles and 34 Spanish League championships.

Rodgers concerned knee issue will get worse
With the of shifting center Chase Roullier to left guard and inserting journeyman center Tony Bergstrom into the starting lineup. Jones, who showed flashes of potential as a rookie last season, can bring a slashing, physical presence to the backfield.

Liverpool boss Jurgen Klopp plays down Virgil van Dijk injury
We had more possession, so we needed to find solutions, and we did. You saw the free kick, it was outstanding. "He tried everything.

O’Rourke Ignores Attacks Ahead Of Texas Senate Race Debate
President Donald Trump will rally in Texas for Cruz next month, which was once unthinkable in the nation's largest red state. The state "needs a senator who will work with the president where we can and stand up to him where we must", O'Rourke said.

What has to happen for Tiger Woods to win the FedExCup?
And he's in good position - after a 5-under-par 65, he leads Rory McIlroy and Justin Rose by three shots . It's his 80th PGA Tour win overall, which moves him to within two of Sam Snead's all-time record of 82.

Local Red Cross sending help for Florence
For mail in donations, fill out this form and send it to American Red Cross PO Box 37839, Boone, Iowa 50037-0839. Platelet and type O blood donations are especially needed right now.

Mourinho confirms Dalot will not feature against Wolves
Newly-promoted Wolves have proven themselves more than up to the challenge of playing Premier League football again. I don't want to say that our improvement has the name of Chris or Victor.

Aguero extends Man City contract to 2021
The 30-year-old has scored three goals in six appearances this season and has drawn praise from Pep Guardiola for his all-round game, an area the manager has been keen for Agüero to improve. "He is important for the club, not just for the team".

'Unsettling' fatal stabbing a rarity in Logan CIrcle, crime stats show
Metropolitan Police Department detectives identified suspect Anthony Crawford via surveillance video and witness testimony. On Wednesday , FiscalNote released a statement saying it is "shocked and deeply saddened" to learn of Ms Martinez's death.