OFT Allows Facebook to Buy Instagram

As you know, Facebook purchased Instagram for $1 billion, which they were very happy about gaining. We said that it gave them an instagasm.

The thing is, this was back in April, and it seems that although Facebook have their Camera App available for download which has some filters within it to use; using the Instagram technology, they don’t actually own the company yet.

It is a long process, especially when the deal costs a billion dollars, so it is understandable. However an update to the transaction was made today thanks to The Office of Fair Trading. They had previously been a bit worried that Facebook owning the company would restrict users from being able to upload images from Instagram to other services, which would mean Fair Trading would not be happening, but it would seem that Facebook will not be the only service that can be used with the App, which has allowed the OFT to give them the green light, getting them one step closer to fully being in control of the company.

Facebook is suffering some trouble at the moment after going public and the company apparently being overvalued by a considerable amount. Some high profile people within the company have resigned as a result. The company is also making less money for each users as more people switch to the mobile based version of Facebook which has not yet installed adverts properly. This is creating a bigger loss that needs to be looked into, and perhaps Instagram will open up some new ideas.

The company is still expanding well with a shiny office in Covent Garden, London in a Grade II Listed 19th Century Building, which was surprising as everyone expected the company to join the other big names over at the Silicon Roundabout in The City.