Instagram Set to Raise $50M from Sequoia Capital at a $500M Valuation

Instagram is set to raise a massive Series B round of venture financing and, according to AllThingsD, the round will be led by preeminent VC firm Sequoia Capital — the same firm that funded the likes of Apple, Google, YouTube, PayPal, Oracle, and Yahoo!. The company will reportedly be raising $50 million on a $500 million valuation, which is a hefty price point for a 17-month-old company with a headcount of 13. The service boasted 30 million iPhone users prior to its Android launch earlier this week, after which they received 1 million new signups in less than 24 hours. Now all it need to do is figure out a way to turn its popularity into dollar bills…

(via AllThingsD)

Image credit: Instagram founders @Kevin @mikeyk by Robert Scoble

  • Mantis

    Instagram is now bigger than Kodak.

    Just let that fact wash over you for a second.

  • rtfe

    i’m not understanding how this picture was taken in the seventies but they have up to date computer technology. . .

  • Slash_Cynic

    So how exactly are they making any money?

  • stanimir stoyanov

    … and now bought by Facebook for one billion US dollars.

  • Jostein Roalkvam

    ¬†Yes, it’s scary. Hipsters are taking over the world!