Instagram is the 8th most visited website in the whole world.
It’s also the 4th most used social media platform today.
And with over 2 billion+ monthly active users, it’s the most favorite platform for Genzs and youngsters.
Maybe you scroll Instagram multiple times a day or at least once a day.
But have you ever thought about who controls this whole platform?
Or, in simple words: Who owns Instagram?
I’m sure you’re curious to know that.
That’s why you’re here, right?
In this post, we’re going to uncover your doubts about the most loved social media platform and find out who owns Instagram.
And we’re going to also share some mind-blowing things about the platform that you have never heard before.
So, without wasting any further time, let’s dive right in.
Who Owns Instagram?
Meta, formerly known as Facebook, is the owner of Instagram.
You didn’t know that, right?
Two of the biggest social media platforms today (Facebook & Instagram) are owned by a single-parent company, Meta.
But Meta hasn’t founded Instagram.
Not even Mark Zuckerberg.
Meta acquired the Instagram platform from its real founders for $1 billion in 2012. It was one of the biggest transactions and acquisitions back then.
Currently, the value of Instagram as per market standard is $102 billion.
In just 11 years, Meta (Formerly known as Facebook) has almost 100X their investment in Instagram, and until now, it’s one of the most profitable investments in the tech startup space.
Who Founded Instagram And When?
Facebook bought the company in 2012.
But who started it?
Who made the most loved social media platform in today’s age?
Instagram was originally launched in October 2010 by Kevin Systrom and Mike Krieger.
And since its launch, it has grown like a rocket ship.
In just two months, they were able to get one million registered users, and within a year, the numbers jumped to 10 million users.
But Instagram was not the first thing that Kevin built.
With no formal computer science education, Kevin learned to code in his free time during the night and weekends while he was working at Nextstop.
And while he was learning to code, he built an app called Burbn. He got the inspiration for this app from his taste for fine whiskey and bourbons.
The bourbn app basically allowed users to check in, share pictures and share their plans.
The app especially became popular among people due to its photo-sharing feature, which was unique back then.
But later, when Mike Krieger joined the force with Kevin, they decided to focus on the picture-sharing part of the app.
They also added features like comments and likes to make the platform more engaging and changed the name of the app to “Instagram.”
And that’s how Instagram was actually born.
After the rebranding, everyone knows today what happened next.
It became the most loved social media app on the planet earth and instantly became a hit among young and Genz audiences.
Complete Story of Instagram Acquisition
After its successful launch, Instagram was growing at a rapid pace.
By March 2012, Instagram already had over 27 million active user base, and just after one month, they launched an Android app version of the app, which became the most downloaded app in a day with more than 1 million downloads on the very first day.
They also got a funding offer at the valuation of $500 million and were very close to closing the deal.
But before they even close the deal, Mark Zuckerberg comes into the picture.
Facebook made an offer to acquire Instagram for $1 billion cash and stock options.
And shortly after that, Facebook finally acquired Instagram for a massive sum of $1 billion.
After Facebook took over the charge, they introduced many more valuable features into the app and changed the user interface to a new one.
To this date, financial experts believe Instagram was arguably the best acquisition in the history of the tech industry.
Are There Any Other Companies Involved in Instagram’s Ownership?
Yes and No.
Instagram is 100% owned by Facebook, and no other company has control over Instagram except them.
However, Facebook is not owned by a single person.
Facebook (Meta) is a publicly traded company with a market cap of $562.19 Billion.
And here’s the list of companies and individuals that hold the largest stake in the company:
- Mark Zuckerberg
- Accel Partners
- Dustin Moskovitz
- Eduardo Saverin
- Sean Parker
- Peter Thiel
- State Street Global
Each of these individuals and institutions holds the majority of the stake in Meta.
So, technically, even though Instagram is not owned by other companies, those who own Meta can also control Instagram as it’s a product under their company.
Can Instagram’s Ownership Change in The Future?
No one really knows the future.
Whether Meta will continue owning Instagram or not, no one can be sure about that.
But if, in the future, Meta decides to sell Instagram to some other entity, it will surely be the biggest ever acquisition in the history of humankind.
However, obviously, Meta is not going to sell Instagram because they know the potential and future growth of this platform due to the rise in short video content.
Meta’s original social media platform, Facebook, is already in decline, and today’s young generation rarely even uses the platform.
Instagram is now Meta’s only hope for its next growth phase.
Is Instagram’s Ownership Regulated by Any Government Authorities?
Meta (who owns Instagram) is a publicly traded company, and for every significant action, they are entitled to get votes from their major stakeholders.
But still, no government entity has any control over Instagram directly.
Obviously, there are specific rules and regulations that every social media company has to follow, including Instagram.
We hope now you clearly know who owns Instagram.
Facebook (Meta) made a bold and one of the most profitable moves to acquire Instagram in its initial stage.
Even though they paid a hefty amount of $1 billion to acquire the app, over the last decade, they have grown the value of the company by 100 times.
And on top of that, each year, it generates over $49 billion for Meta.