Facebook Buys Instagram for $1B Social networking company acquiring photo app for $1B By Evann Gastaldo, Newser Staff Posted Apr 9, 2012 12:51 PM CDT 7 comments Comments Smartphone camera app Instagram is demonstrated by an Associated Press reporter in San Francisco, Wednesday, Feb. 9, 2011. (AP Photo) (Newser) – Facebook today announced its largest acquisition yet: Instagram, the mobile app that lets users turn today's memories into something straight out of 1975, which will bolster Facebook's own photo services. Facebook bought the San Francisco-based service for around $1 billion in cash and shares, and has promised to let it remain independent while also integrating it into the social networking site. AllThingsD has the full release, including Mark Zuckerberg's statement that, "This is an important milestone for Facebook because it’s the first time we’ve ever acquired a product and company with so many users. We don’t plan on doing many more of these, if any at all."