Instagram was originally distinguished by allowing content to be framed only in a square (1:1) aspect ratio of 640 pixels to match the display width of the iPhone at the time. In 2015, this restriction was eased with an increase to 1080 pixels. It also added messaging features, the ability to include multiple images or videos in a single post, and a Stories feature—similar to its main competitor, Snapchat, which allowed users to post their content to a sequential feed, with each post accessible to others for 24 hours. As of January 2019, Stories was used by 500 million people daily.[8]
Instagram was launched for iOS in October 2010 by Kevin Systrom and Mike Krieger. It rapidly gained popularity, reaching 1 million registered users in two months, 10 million in a year, and 1 billion in June 2018. In April 2012, Facebook acquired the service for approximately US$1 billion in cash and stock. The Android version of Instagram was released in April 2012, followed by a feature-limited desktop interface in November 2012, a Fire OS app in June 2014, and an app for Windows 10 in October 2016. Although often admired for its success and influence, Instagram has also been criticized for negatively affecting teens' mental health, its policy and interface changes, its alleged censorship, and illegal and inappropriate content uploaded by users.
Instagram began development in San Francisco as Burbn, a mobile check-in app created by Kevin Systrom and Mike Krieger. On March 5, 2010, Systrom closed a $500,000 (equivalent to $682,200 in 2023) seed funding round with Baseline Ventures and Andreessen Horowitz while working on Burbn.[10][11] Realizing that it was too similar to Foursquare, they refocused their app on photo-sharing, which had become a popular feature among its users.[12][13] They renamed it Instagram, a portmanteau of instant camera and telegram.[14]
2010–2011: Beginnings and major funding
Josh Riedel joined the company in October as Community Manager,[15] Shayne Sweeney joined in November as an engineer,[15] and Jessica Zollman joined as a Community Evangelist in August 2011.[15][16]
The first Instagram post was a photo of South Beach Harbor at Pier 38, posted by Mike Krieger at 5:26 p.m. on July 16, 2010.[17][13] On October 6, 2010, the Instagram iOS app was officially released through the App Store. In February 2011, it was reported that Instagram had raised $7 million (equivalent to $9,357,057 in 2023) in Series A funding from a variety of investors, including Benchmark Capital, Jack Dorsey, Chris Sacca (through Capital fund), and Adam D'Angelo.[18] The deal valued Instagram at around $20 million. In April 2012, Instagram raised $50 million (equivalent to $65,610,000 in 2023) from venture capitalists with a valuation of $500 million (equivalent to $656,100,000 in 2023).[19] Joshua Kushner was the second largest investor in Instagram's Series B fundraising round, leading his investment firm, Thrive Capital, to double its money after the sale to Facebook.[20]