The most interesting thing about Instagram’s new app, Hyperlapse, isn’t that it’s a stand-alone app, it’s that it’s only a lens.
A lot has been made in recent months of companies “unbundling” their apps to create simpler, more streamlined experiences for users. The jury is still very much out on this strategy actually working. But again, I don’t view the Instagram move with Hyperlapse as the same thing exactly.
The thing is, on the surface, there isn’t much to Hyperlapse itself. It’s a video camera which allows you to speed up the playback after shooting (there’s obviously a lot more going on behind the scenes to make this work and seem as simple as it does). You can then share those videos to either Facebook or Instagram (not Twitter, naturally and stupidly), but there is no Hyperlapse social element beyond this share functionality. The real social component of Hyperlapse stays on the existing Facebook social backbone (since Facebook also owns Instagram, of course). And even the editing beyond the playback speed occurs on Instagram still.
So in this regard, Hyperlapse is “only” a layer on top of those existing services. It’s sort of like a new lens you might attach to your camera – albeit a tricked-out lens that can speed up time!
I think this secondary app strategy is a much more clever one than the typical “unbundling” one. Just look at the App Store top lists now; there are dozens of apps for altering the output of existing popular apps – Vine, Snapchat, and yes, Instagram, amongst others. Why wouldn’t the app-maker want to play in this space as well? The end result is just making their core app more popular. And they get to remain in control of the user experience.
As an aside, in my mind, the oddest thing about Hyperlapse is that it does something that not even its parent does: work natively on the iPad.
(Written on my iPhone)
To me, it’s pretty simple. Facebook is taking out an option on the future. And, in my view, it’s a pretty cheap option to boot. In some ways, it’s not unlike the deal the Los Angeles Angels (of Anaheim or whatever) just signed with Mike Trout.1
Yes, $2 billion is a lot of money. But it’s also roughly 1/8th of what Facebook just spent on WhatsApp. And it’s roughly 2x what the company spent on Instagram — and that has turned out pretty well so far. One of the better deals this decade, perhaps.2
To me, the most exciting part of the Facebook/WhatsApp deal has nothing to do with the deal itself. Instead, I’m excited about the ramifications of such a deal. And I’m not talking about Facebook or WhatsApp here either. History will ultimately prove that deal genius or folly. But more importantly, I know that a deal like this has other people talking, thinking, and building.
The last group is key, but let me start with the first group. Once the fervor around the deal itself died down, we got a couple of compelling posts from the likes of Benedict Evans and riffing on it, John Lilly. Incidentally, both are now VCs. But neither started out that way, and both have long histories of solid thinking and writing.
Both understand that the Facebook/WhatsApp deal is simply the strongest signal yet that we’ve fully entered a new age in the world of computing where mobile is now the kingdom. And the $19 billion price tag simply shows that there isn’t yet a king.
This morning I had a meeting with a couple entrepreneurs whose company was recently acquired. It was just a general catch up session, no real agenda. Still, it seemed quite random when a good third of our conversation was spent talking about WhatsApp and its incredible penetration in India.
Why was this growth happening? The consensus was: focus. On what they’re good at. On what their users want. On what ultimately matters.
A couple hours later, what at the time seemed a random conversation turned almost a little spooky when it was announced that Facebook would be acquiring WhatsApp for $19 billion and change.
I’m not going to spend time breaking down this extraordinary deal as I know no more about it than what I’ve read. But what I do find fascinating is what’s becoming clear from those closest to the company: in an age of pomp and circumstance around all things startups, the team behind WhatsApp was all about keeping their heads down, focusing on product, and avoiding bullshit at all costs.