Facebook’s photo social network, Instagram has hit 150 million monthly users, which is a 15% increase since two months ago. Instagram also has plans to integrate ads into the service within the next year. Facebook is not currently making money off of Instagram.
“Kevin Systrom has always been clear that we?re building Instagram to be a business. We expect over time to generate a lot of profit from it. We think the right focus for now is to continue increasing the footprint of Instagram and, when the right time comes, we?ll think about advertising,” stated Facebook CEO Mark Zuckerberg during the Q2 2013 earnings call.
Another way that Instagram could make money is through the Discover feature built into the app. The Discover feature promotes popular content. Ads could also potentially be integrated with the search function and in the form of promoted hashtags.