Instagram has just made its first acquisition, buying both the team and technology of Y Combinator company Luma (formerly known as Midnox). Luma created a video-capture, stabilization and sharing app, which will be shut down soon. In fact, one source tells us Luma’s stabilization technology is already live in Instagram.

Luma’s iOS app has been pulled from the App Store but existing users will continue to be supported until December 31, 2013. Users can download their videos here.

Luma App

We were tipped off to the acquisition, and Facebook has since confirmed that it is Instagram’s first, and the deal is for both talent and technology. Terms of the deal were not disclosed.

The Luma team writes: “Eighteen months ago, we embarked on a mission to make capturing and sharing beautiful videos easy without expensive software or heavy equipment. By joining the exceptionally talented team at Instagram, we’re taking another big…

View original post 339 more words