Facebook announced this week its purchase of Instagram, a San Francisco-based mobile photo storage application. This is the largest acquisition yet for the social network. Instagram’s photo services will strengthen Facebook’s current photo services. The purchase price was around $1 million in cash and shares.
This agreement includes the opportunity for Instagram to remain independent while also being integrated into Facebook’s site. Mark Zuckerberg says of the acquisition, “This is an important milestone for Facebook because it’s the first time we’ve ever acquired a product and company with so many users. We don’t plan on doing many more of these, if any at all.”