Instagram founders exit FB after 6 years

SAN FRANCISCO: The founders of Instagram are leaving Facebook Inc. after growing tensions with chief executive officer Mark Zuckerberg over the direction of the photo-sharing app, people familiar with the matter said. The stock dropped 2% in pre-market trading on Tuesday.

Kevin Systrom and Mike Krieger, who have been at the company since Instagram’s acquisition by Facebook in 2012, had been able to keep the brand and product independent while relying on Facebook’s infrastructure and resources to grow. Lately, they were frustrated with an uptick in day-to-day involvement by Zuckerberg, who has become more reliant on Instagram in planning for Facebook’s future, said the people, who asked not to be identified sharing internal details. Without the founders around, Instagram is likely to become more tightly integrated with Facebook, making it more of a product division within the larger company than an independent operation, the people said.

For years, Systrom and Krieger were able to amicably resist certain Facebook product initiatives that they felt went against their vision, while leaning on Facebook for resources, infrastructure and engineering talent. A new leader may not be able to keep the same balance, or may be more willing to make changes that help the overall company at the expense of some of Instagram’s unique qualities.

The founders confirmed their decision in a blog post, although Facebook didn’t have a comment on the tension.

“Kevin and Mike are extraordinary product leaders and Instagram reflects their combined creative talents,” Zuckerberg said in a statement. “I’ve learned a lot working with them for the past six years and have really enjoyed it.” The measure is part of a series of attempts by the world’s third-biggest oil importer and consumer to cut its surging oil import bill in the face of rising oil prices and a weaker Indian rupee.

India had previously allowed state refiners to buy only 15.48% of their estimated 118.15 million tonnes of oil imports in the current fiscal year to March 31 on a Cost, Insurance and Freight (CIF) basis, meaning the seller arranges the vessel and insurance. The rest was largely procured on a Free on Board (FOB) basis to help Indian shipping lines and insurers.

India’s shipping ministry told the country’s oil ministry about the move in a letter dated September 19.