It’s been a series of executive departures for Facebook Inc. (NASDAQ: FB) now and the latest one to join the wave are Instagram co-founders!
In consonance with revelations by The New York Times, as a result of fueling tensions now and then, the Chief Executive Founders of Instagram, Kevin Systrom and Mike Krieger, are leaving Facebook. This comes in the aftermath of the above-mentioned tension with the CEO of Facebook, Mark Zuckerberg regarding the course of the plan of the photo-sharing app.
Kevin Systrom and Mike Krieger have been a part of the company since its acquisition by Facebook in 2012. It’s not an undercover matter that Facebook has been highly dependent on the photo-sharing app for its future growth. But frustration amounted to rise too much about the day-to-day involvement routing by Zuckerberg, and this has possibly led to the recent fallout!
The New York Times had previously let out a hush-hush story about the Co-founder duo’s departure from the Facebook space. However, the confirmation came quite recently in a blog post. Facebook has decided to remain the mute spectator and hasn’t made any comments about the tension yet.
Marking the Fifth Founder Exit!
The recent fallout marks the fifth founder departure from all the high-profile acquisitions of the Tech Titan. The first exit ever was marked by WhatsApp cofounders duo, Brian Acton and Jan Koum who left Facebook in 2017 and 2018, marking a real expensive split -leaving about $1.3 billion on the table.
Palmer Luckey followed suit and left Facebook’s $2 billion VR acquisition, Oculus in the same year.
Facebook’s chief security officer, Alex Stamos, also bid adieu to the company this year. This exit was the repercussion of previous disputes regarding Facebook’s discretion of how much it should reveal about Government’s misuse of the data and the platform.
Furthermore, one might take a note that although under the roof of the parent company Facebook, Instagram has always strived hard at different levels in order to maintain their identity as an individual platform.
What appears outside the shell as of now is Facebook’s masquerade of a digital conglomerate! This, of course, is operated by apps and have their own share of billing. Identified as unique brands with their own user base and needs, they have all been quite successful as an individual amounting 2.3 billion for Facebook; 1.5 billion for Whatsapp; 1.3 billion for Messenger; 800 million for Instagram. Dollar-eyed emoticon, anyone?
What Does This Departure Mean for Facebook?
“Building new things requires that we step back, understand what inspires us and match that with what the world needs; that’s what we plan to do. We remain excited for the future of Instagram and Facebook in the coming years as we transition from leaders to two users in a billion. We look forward to watching what these innovative and extraordinary companies do next.” – Kevin Systrome
The mentioned departures come into light wherein Facebook isn’t in its best phase!
The social media leviathan has been trying hard to regain user trust following the last U.S Presidental election over its platform. To add up to the woes, recent Cambridge Analytica Scam has also hit the company where it hurts and has quite brutally scarred its reputation.
With the slate of scandals hovering around Facebook like doomsday, Instagram has continued to rise. Growing past 1 billion monthly users throughout the world, Facebook has only one safe option to bank for and that is, undoubtedly, the photo-sharing app. This may be the reason, Zuckerberg hasn’t stopped mentioning about Instagram in its earnings calls.