Instagram announced in Thursday that it will add advertising products to the image stream in the near future

Summary: Facebook's merged image and video sharing website Instagram announced in Thursday that it will be adding advertising products to the image stream in the near future. In this regard, industry analysts generally believe that Instagram to carry out advertising business will promote the growth of Facebook revenue, and it will be

Instagram, a Facebook-owned image and video-sharing website, announced in Thursday that it will add advertising products to the image stream in the near future. In response, industry analysts generally believe that Instagram's advertising will boost Facebook's revenue growth, and this will be the first time Facebook wants to use the deal to generate revenue.

Driven by this positive factor, Facebook rose 1.86 U.S. dollars in the conventional US stock exchange in Friday, closing at $51.04, or 3.8%, which is close to the company's all-time top share price.

As users increasingly use wireless devices for digital services, Facebook is also constantly looking for new ways to generate revenue from mobile devices. In the second quarter of this year, mobile device-related business revenues accounted for 41% of Facebook's total advertising revenue, compared to 30% per cent earlier.

"This business will be a positive factor for Facebook and will continue to drive Facebook," said Benjamin Schachter, an analyst at Macquarie Securities US Inc. Benjamin Schachette. Although Instagram has not yet launched advertising products, we still think that Instagram will announce the launch of the advertising business this year, which is certainly a very positive news. ”

"Our goal is to create ads that make users feel natural," Instagram previously said through a blog. We want these ads to be liked by users, and they will be presented to users in the way they browse the magazine ads. Instagram also said that users could also hide ads that they don't like and send feedback to Instagram about reasons they don't like.