Dive summary:
- Facebook CFO David Ebersman told investors that Instagram was a "quite formidable competitor" even though the photo app is now Facebook property.
- Instagram, who just recently hit 100 million active users, poses the biggest threat among the younger users who are gravitating to the ad-free photo app instead of Facebook.
- Ebersman admitted that the social network didn't yet know how Instagram and Facebook relate to each other.
From the article:
"Now, we have two pieces of evidence that depict Instagram as a cannibal. Instagram is, quite literally, eating Facebook's young. And Ebersman, when asked specifically about how Instagram users are migrating over to Facebook, also admitted that the social network doesn't yet know how the applications relate to each other."
