Instagram issued a new Terms of Service yesterday (here) that will allow the company to use your photos commercially without any compensation to you:
Some or all of the Service may be supported by advertising revenue. To help us deliver interesting paid or sponsored content or promotions, you agree that a business or other entity may pay us to display your username, likeness, photos (along with any associated metadata), and/or actions you take, in connection with paid or sponsored content or promotions, without any compensation to you.
You have until January 16, 2013 to opt out and delete your account.
I also found this next part troubling:
posting and use of your Content on or through the Service does not violate, misappropriate or infringe on the rights of any third party, including, without limitation, privacy rights, publicity rights, copyrights, trademark and/or other intellectual property rights; (iii) you agree to pay for all royalties, fees, and any other monies owed by reason of Content you post on or through the Service;
Couple thoughts on this beyond the obvious WTF that many of you who use the service and sell images professionally will have.
According to Cnet, once the deadline has passed you’ve given them a license and irrevocable right to sell any images you’ve uploaded in perpetuity.
Facebook paid 1 billion dollars for Instagram which came out to be $30 per user. Selling everyone’s photos seems like an easy way to make all that money back.
At over 1 Billion images and counting, doesn’t this make Instagram the largest stock photo agency in the world?
Most companies require royalty free worldwide licenses to your images in order to display them on your account and move them around the world on their servers. This is the first time I’ve seen a license to display images commercially. It can’t possibly stand up to the anger they’re about to experience. On the other hand a billion dollars is a lot of money. This will get them there faster than anything else. Could this be a shift in “free” services who want multi-billion dollar valuations and exits for their investors? This could just be the beginning.
UPDATE: Statement from Kevin Systrom co-founder, Instagram (here)
The language we proposed also raised question about whether your photos can be part of an advertisement. We do not have plans for anything like this and because of that we’re going to remove the language that raised the question. Our main goal is to avoid things likes advertising banners you see in other apps that would hurt the Instagram user experience. Instead, we want to create meaningful ways to help you discover new and interesting accounts and content while building a self-sustaining business at the same time.