Instagram staff members received some surprising news from Bloomberg. The financial data company revealed the social media network's net worth.
100 Billion Reasons
Bloomberg noted that if Facebook did not purchase Instagram in 2012 at $1 billion, it would be worth more than $100 billion. The revelation was published in a report that was released on June 25. Jitendra Waral, who published the report, noticed that Instagram is attracting new users than Facebook. She also saw that the company accumulated 1 billion active users worldwide.
Waral predicted that Instagram could be able to reach 2 billion users within five years. The report also revealed that Instagram had become one of the go-to social media networks for younger people. Advertisers have also been aggressively trying to market towards Instagram users through creating photo and video campaigns.
Instagram's Growing Presence
The report also noticed that unlike Facebook, Instagram is currently gaining new users from the United States. Bloomberg Intelligence reported that Instagram could play a vital role in Facebook's revenue.
The business media outlet forecasted that Instagram could take up 16 percent in 2019, the social media app was initially 10.6 percent of Facebook's 2017 profit. Bloomberg also reported that this year's revenue growth could come from newsfeed advertisement.
News of Instagram's value comes one week after the IGTV announcement. This new standalone app for creators will allow people to instantly film videos that were an hour long. IGTV is expected to take up the entire screen and would immediately begin showing videos once the app is opened. Notable creators such as Ninja, Katie Austin, Bryce Xavier, and Lele Pons were a part of IGTV's announcement.
On June 12, the Instagram press team announced that shopping tag stickers would start appearing in Instagram Stories. The labels would come with a shopping bag icon, and if users were looking at clothes or accessories, they could quickly click on the sticker.
The sticker would take them to a separate page in the app called "See Details," where users could find the price and a link to buy the item. Adidas, Aritzia, and the Kooples are some of the participating brands that confirmed that their items would receive shopping tag stickers.
Instagram started to allow people to repost their friends' Instagram Stories. Through @mention Sharing, users could repost a story for 24 hours. The person that was tagged would receive a message that would include the "Add This to Your Story" option, which would allow them to add text and stickers to the video. This new feature only works with Instagram users who have public accounts.
Tech Times reached out to Facebook for a comment on this story.