We Are All For Sale

If we learn one thing from the Facebook – Instagram merger, it should be that we are all for sale and there is no such thing as FREE. These services we use every day are not free services. When we do not directly pay for a service with real money, we pay for it with our data. We pay for it when we broadcast our location, social graph and our status updates.

In the case of yesterday’s acquisition, we are the product being sold.

Facebookization of the masses has caused a morphing of social norms where sharing has become the default. This is obvious to many, but it doesn’t have to be the reality. In order for real change to take place, the curtain of “free service culture” must be lifted through a tipping point of user awareness.

Let’s Break It Down

We are all for sale. Just yesterday, I and 30 million other users were sold for about $33.00 each – a brilliant move for the Instagram folks. Regardless of whether or not this was a smart and strategic business move for Facebook, the reality is this: The images, location data and platform activity of all current and future Instagram users now have a new owner. This new owner happens to be a company I do not personally trust. Therefore, my user account and data are no more.

Maybe you’re completely comfortable with this acquisition. Maybe you don’t care. That’s fine, but you should at least be aware of what’s happening with your data. Often times, the concept of faux-free overshadows the reality that these services are profiting from our activity. While it is the nature of our times and it’s not going away, it should be out in the open.

High profile deals like the Facebook/Instagram acquisition can help with awareness, but with payoffs north of nine zeros they can also create an environment of copycat strategies. How many social startups now have the goal of becoming the next Instagram?

A Plea to Developers

I loved Instagram. The application lived in prominence on my Home Screen. I wrote about how it supplanted the native camera on my phone and I would have happily paid for the service. I’d wager a good portion of the user base, in some capacity, would have as well.

Developers of the next Instagram: please give users the opportunity to directly support your service by paying for it! Please take our money! Please have a sustainable business plan, or better yet, a platform philosophy!

Some platforms are doing it and it’s working. Look at Pinboard. Look at 500pixels. Look at Instapaper. All thriving with a paying user base. It’s time for us, as empowered users of technology, to start following the money.

The Instagram team would have been foolish to turn down a billion dollars. People play the Mega Millions for a reason. They play for a chance to win big. And winning big is a very rare occurrence. Facebook offer removed, Instagram could have leveraged their active user base to earn millions of dollars year over year had they pursued a sustainable revenue stream.

A lottery ticket is not a sustainable business practice.