Threats to and opportunities for Facebook’s product were evaluated with the same depth of analysis as everything else. Facebook had access to data that tracked how often people were using different apps on their smartphones. The data acted as an early warning system for a potential competitor’s rise. If there was any chance Facebook could build its own version of the app that might ultimately reach more people, they would try, immediately. If it didn’t work, that’s where acquisitions like Instagram came in handy.
