Instagram Not an Instant Fix for Ailing Facebook

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Revenue forecasts from Facebook that alarmed investors, fueling the worst day ever for its shares on Thursday, add to the pressure on its Instagram unit to win over more of the ad buyers that have long found success on the company’s flagship app.

Instagram and Facebook users see about the same number of ads, but Instagram ad prices are half of what Facebook charges because of the limited number of advertisers vying for spots on Instagram, four ad buyers said.

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