Facebook spent $715M on Instagram, $87M on other acquisitions this year

Facebook spent $87 million so far this year on business acquisitions not including its Instagram purchase, the company revealed in a filing with the Securities and Exchange Commission today.

Facebook spent $521 million on Instagram — $300 million of which was in cash, the rest in vested shares of Class B common stock. Facebook additionally issued 11 million unvested shares to employee stockholders of Instagram, with a value of about $194 million to be recognized as they vest over three years. This makes the total price of the mobile photo sharing app $715 million, shy of the $1 billion original price, which decreased with Facebook’s stock value.

Facebook reported $87 million in other business acquisitions from Jan. 1 to Sept. 30. Apart from Instagram, this year Facebook has bought Tagtile, Glancee, Karma, Face.com and Threadsy.

Tagtile was a mobile-based customer loyalty management startup that offered payments hardware and software for merchants. Glancee was an ambient mobile location app that alerts users when people with similar interests are nearby. Karma was a mobile gifting and commerce service, which was turned into Facebook Gifts. Face.com was a facial recognition technology company. Threadsy offered a Klout-like service called Swaylo to connect brands and influencers, and help users understand their own influence on Facebook.

Facebook also made a number of acqu-hires this year, picking up employees from Momentus Media, Lightbox, Bolt Peters, Pieceable Software, Spool, Acrylic and Carsabi.

The company only spent $24 million on acquisitions at the end of Q2, indicating that the most recent acquisitions to close added up to $63 million.

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2 Responses to “Facebook spent $715M on Instagram, $87M on other acquisitions this year”

  1. Social Media Newsfeed: Facebook Gain | Zynga Bounce | News.me Apps - SocialTimes says:

    [...] rose 19 percent to $23.23 on the Nasdaq Stock Market, its highest closing price in five weeks. Inside Facebook Facebook spent $87 million so far this year on business acquisitions not including its Instagram [...]

  2. Facebook’s Instagram Deal Worth $715M; $87M Spent On Other 2012 Acquisitions - AllFacebook says:

    [...] sister blog Inside Facebook pointed out that the social network also completed a number of acqu-hires during the time period, [...]

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