Billionaire Aldi heir dies aged 58












FRANKFURT (Reuters) – German billionaire Berthold Albrecht, heir to the Aldi supermarket chain and one of Germany‘s richest men, has died aged 58, his family announced on Friday.


Together with his brother Theo Jr, Albrecht’s fortune was estimated at $ 17.8 billion, according to Forbes. That placed them at 32 in the list of Forbes billionaires and second for Germany.












Berthold was a fighter, and full of hope to the end,” his wife, Babette, wrote in a full-page notice published in several German newspapers.


The notice from the notoriously reclusive family said that the funeral had taken place in November, but it did not give further details of the circumstances of his death.


Berthold was the son of Aldi co-founder Theo Albrecht, who died at the age of 88 in July 2010.


After the Second World War, Theo and his brother Karl turned the small grocery store their mother operated in Essen into one of the nation’s largest food retail chains, with a focus on a limited range of goods at bargain prices.


Aldi was split into two divisions covering north and south Germany in 1960. Theo took the north and Karl the south. Karl, aged 92, is classified by Forbes as the richest man in Germany with a fortune of $ 25.4 billion.


The Aldi empire, which has estimated worldwide annual turnover of about 50 billion euros ($ 65 billion), also owns the Trader Joe’s grocery chain in the United States. In Europe it competes with the likes of Tesco, Carrefour and Metro.


Berthold worked on the board of directors at Aldi North. ($ 1 = 0.7700 euros)


(Reporting by Victoria Bryan; Editing by David Goodman)


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Judge rejects bid to block Washington state “stoned driving” rules












OLYMPIA, Washington (Reuters) – A judge on Friday rejected a request by a medical marijuana user to block Washington state from enforcing tougher “stoned driving” rules after it became one of the first U.S. states to legalize the recreational use of marijuana.


Washington state voters last month approved marijuana legalization by a margin of 56 percent to 44 percent, making the state, along with Colorado, the first in the country to legalize recreational pot use.












The new rules, which for most marijuana smokers would put them over the legal driving limit for a couple hours after taking two or three hits from a joint, took effect on Thursday.


The legal challenge came from Arthur West, an Olympia-based lawyer and medical marijuana patient who said the ballot initiative‘s title wrongly left out any mention of the DUI provisions.


He also argued that those provisions will enable police to target medical marijuana users, who typically have higher residual blood levels of THC–the active ingredient in marijuana–for car stops.


“I don’t think it’s fair that the tens of thousands of patients in the state of Washington have to choose between whether they take their medicine or be subject to arrest for driving under the influence every time they get in their cars,” he said.


In rejecting West’s request for a preliminary injunction, Judge Lisa Sutton noted that police have long been empowered to pull over drivers they suspect of impaired driving.


“That is the same case today, after the passage of this initiative, as it was before,” Sutton said.


Though the hearing Friday dealt primarily with the DUI provisions, West’s lawsuit also asserts that the initiative wrongly earmarks tax money raised by regulating marijuana for unrelated services such as primary health and dental care, and that state legislators improperly advocated its passage.


West said he will push ahead with his case, taking it all the way to the state’s supreme court if necessary.


Assistant Attorney General Bruce Turcott, who defended the new marijuana law in court, said he was satisfied with the ruling.


“I would have been very surprised” if the judge had ruled differently, Turcott added.


Alison Holcomb, an attorney with the Washington state ACLU who led the legalization campaign, declined to comment on the case.


Previously, Holcomb told Reuters that she included the DUI provisions in the initiative after an internal poll in May showed that 62 percent of 602 likely voters said a pot-impaired driving standard would make them more likely to vote for legalization


(Editing by Dan Whitcomb and Andrew Hay)


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Court takes on same-sex marriage: What’s at stake


In a historic step that rivals other Supreme Court moves into the center of America’s cultural character, the justices on Friday agreed to consider the constitutionality of federal and state laws that deny marriage rights or marital benefits to same-sex couples. But the move carried with it the potential for stopping short of settling the core constitutional issue.



The court’s orders Friday afternoon said the justices would hear claims that states do not violate the Constitution when they allow marriage only for one man and one woman, and that the federal government does violate the Constitution when it denies benefits to same-sex couples who are already legally married under state laws. Those are the key questions on gays’ and lesbians’ right to marry.


At the same time, however, the court gave itself the option of postponing answers to those key questions. It raised a series of procedural issues that could mean that neither of the cases it granted would provide a definitive outcome. Which way it ultimately would choose to move is not predictable at this point. (Constitution Daily on Monday will provide a fuller analysis of what the court has said it would do.)


Last summer, as cases on same-sex marriage were reaching the Supreme Court, the justices were told that what was at stake was “the defining civil rights issue of our time.” That was a comment from two lawyers whose own fame–and past differences in court–have added to the high visibility of those cases: Theodore B. Olson and David Boies.


Once the opposing lawyers in the court’s celebrated decision in Bush v. Gore, settling a presidential election, Olson and Boies have joined forces to help speed up an already unfolding timetable of court rulings on whether gays and lesbians will be able to marry.  They won one of the most sweeping rulings ever issued by a court, when a federal judge in San Francisco two years ago struck down California’s ban on such marriages, “Proposition 8.”


But, years before those titans of the bar joined the fight, lawyers in gay rights organizations had been pressing the marriage issue in their own lawsuits. They, too, saw it as a defining issue of the day. They actually had two parallel campaigns going in the courts: open marriage to homosexual partners, and open the military to gays and lesbians, who could serve without hiding their sexual identities.


As the court now moves into the marriage issue, the fight over gays in the military already has been won. Congress repealed that ban, and the services are now welcoming gays and lesbians without trying to regulate their private lives.


There is virtually no chance that Congress–at least Congress as presently constituted–would pass legislation to open marriage to homosexuals on a nationwide basis. That is simply not politically possible and, besides, there is a question about whether Congress could impose such a requirement upon states, which traditionally have defined who can marry.


And, since the politics of gay rights do not suggest that a constitutional amendment to permit same-sex marriages will even be attempted, the path to such marriages remains either in state legislatures, with the voters of the states, or with the courts.


Recent Constitution Daily Stories


What’s the court doing with same-sex marriage cases?
Constitution Check: Would an Obama victory turn the Supreme Court sharply to the left?
Constitution Check: Will the politics of 2012 influence the constitutionality of gay marriage?


The campaign to pursue same-sex marriage through the courts has been marked, at times, by disagreements about what was the best strategy, and what was the best time to try to advance the cause. While supporters of same-sex marriage have had some control over the process, it has not been entirely a matter of their choice. Rigorous efforts challenging same-sex marriage have been made, in politics and in the courts, and have succeeded most of the time with the voters.


Still, it has been widely assumed that, sooner or later, the issue probably would be resolved as a constitutional matter by the Supreme Court. It has had rulings on gay rights in recent years, but it has never issued a full-scale ruling on the issue of marriage for homosexual couples.


Whether the review that is now beginning will lead to a sweeping new ruling, or only one that is limited in scope, will only become clear as the time for decision approaches.


Since the same-sex marriage cases began arriving at the court last summer, a total of 11 have now been placed on the docket. At a conference Friday morning, the court had before it 10 of those petitions, and the justices were examining them to decide which issues they were ready to confront.


Lyle Denniston is the National Constitution Center’s Adviser on Constitutional Literacy. He has reported on the Supreme Court for 54 years, currently covering it for SCOTUSblog, an online clearinghouse of information about the Supreme Court’s work.

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Toronto mayor to stay in power pending appeal of ouster












TORONTO (Reuters) – Toronto Mayor Rob Ford can stay in power pending an appeal of a conflict of interest ruling that ordered him out of his job as leader of Canada’s biggest city, a court ruled on Wednesday.


Madam Justice Gladys Pardu of the Ontario Divisional Court suspended a previous court ruling that said Ford should be ousted. Ford’s appeal of that ruling is set to be heard on January 7, but a decision on the appeal could take months.












Justice Pardu stressed that if she had not suspended the ruling, Ford would have been out of office by next week. “Significant uncertainty would result and needless expenses may be incurred if a by-election is called,” she said.


If Ford wins his appeal, he will get to keep his job until his term ends at the end of 2014. If he loses, the city council will either appoint a successor or call a special election, in which Ford is likely to run again.


“I can’t wait for the appeal, and I’m going to carry on doing what the people elected me to do,” Ford told reporters at City Hall following the decision.


Ford, a larger-than-life character who took power on a promise to “stop the gravy train” at City Hall, has argued that he did nothing wrong when he voted to overturn an order that he repay money that lobbyists had given to a charity he runs.


Superior Court Justice Charles Hackland disagreed, ruling last week that Ford acted with “willful blindness” in the case, and must leave office by December 10.


Ford was elected mayor in a landslide in 2010, but slashing costs without cutting services proved harder than he expected, and his popularity has fallen steeply.


He grabbed unwelcome headlines for reading while driving on a city expressway, for calling the police when a comedian tried to film part of a popular TV show outside his home, and after reports that city resources were used to help administer the high-school football team he coaches.


The conflict-of-interest drama began in 2010 when Ford, then a city councillor, used government letterhead to solicit donations for the football charity created in his name for underprivileged children.


Toronto’s integrity commissioner ordered Ford to repay the C$ 3,150 ($ 3,173) the charity received from lobbyists and companies that do business with the city.


Ford refused to repay the money, and in February 2012 he took part in a city council debate on the matter and then voted to remove the sanctions against him – despite being warned by the council speaker that voting would break the rules.


He pleaded not guilty in September, stating that he believed there was no conflict of interest as there was no financial benefit for the city. The judge dismissed that argument.


In a rare apology after last week’s court ruling, he said the matter began “because I love to help kids play football”.


Ford faces separate charges in a C$ 6 million libel case about remarks he made about corruption at City Hall, and is being audited for his campaign finances. The penalty in the audit case could also include removal from office.


(Reporting by Claire Sibonney; Editing by Janet Guttsman, Russ Blinch, Nick Zieminski; and Peter Galloway)


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Minecraft sells almost 4.5 million copies on Xbox 360 as other indie games continue to struggle












Big-budget games such as Halo 4 and Call of Duty: Black Ops II might brag about how they rule the Xbox 360 in terms of sales, but indie games can also compete – if they’re addictive enough and offer enough value. Take Minecraft, an indie game developed by Markus “Notch” Persson’s company Mojang. According to Mojang, Minecraftan indie game originally made for PC and ported to the Xbox 360 seven months ago has sold 4,476,904 copies as of the end of November with 40,000 to 60,000 copies sold every week. Minecraft is an anomaly because it doesn’t boast high-definition graphics that ooze of detailed lighting effects and didn’t cost millions of dollars to make, and yet it is the third-most played game on Xbox LIVE.


According to Gamasutra’s analysis and breakdown of November’s Xbox Live Arcade sales, only three other indie games managed to break 1 million copies downloaded last month. See below for the chart.












As you can see, every other game on Xbox Live Arcade other than Castle Crashers, Fruit Ninja Kinect, Happy Wars and Counter Strike: GO isn’t seeing the same type of success Minecraft is.


The lesson here is developers should always focus on the product and the users. If the gameplay mechanics are solid, the experience is fluid and bug-free, the gamers will come.


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George Zimmerman sues NBC and reporters












ORLANDO, Fla. (AP) — George Zimmerman sued NBC on Thursday, claiming he was defamed when the network edited his 911 call to police after the shooting of Trayvon Martin to make it sound like he was racist.


The former neighborhood watch volunteer filed the lawsuit seeking an undisclosed amount of money in Seminole County, outside Orlando. Also named in the complaint were three reporters covering the story for NBC or an NBC-owned television station.












The complaint said the airing of the edited call has inflicted emotional distress on Zimmerman, making him fear for his life and causing him to suffer nausea, insomnia and anxiety.


The lawsuit claims NBC edited his phone call to a dispatcher in February. In the call, Zimmerman describes following Martin in the gated community where he lived, just moments before he fatally shot the 17-year-old teen during a confrontation.


“NBC saw the death of Trayvon Martin not as a tragedy but as an opportunity to increase ratings, and so set about to create a myth that George Zimmerman was a racist and predatory villain,” the lawsuit claims.


NBC spokeswoman Kathy Kelly-Brown said the network strongly disagreed with the accusations made in the complaint.


“There was no intent to portray Mr. Zimmerman unfairly,” she said. “We intend to vigorously defend our position in court.”


Three employees of the network or its Miami affiliate lost their jobs because of the changes.


Zimmerman is charged with second-degree murder but has pleaded not guilty, claiming self-defense under Florida’s “stand your ground law.”


The call viewers heard was trimmed to suggest that Zimmerman volunteered to police, with no prompting, that Martin was black: “This guy looks like he’s up to no good. He looks black.”


But the portion of the tape that was deleted had the 911 dispatcher asking Zimmerman if the person who had raised his suspicion was “black, white or Hispanic,” to which Zimmerman responded, “He looks black.”


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Both sides hint at renewed talks on U.S. “fiscal cliff”












WASHINGTON (Reuters) – With little to show after a month of posturing, the White House and Republicans in Congress dropped hints on Thursday that they had resumed low-level private talks on breaking the stalemate over the “fiscal cliff” but refused to divulge details.


A day after a phone conversation between President Barack Obama and John Boehner, the Republican speaker of the House of Representatives, appeared to kick-start communications, both sides used similar language to describe the state of negotiations but imposed a media blackout on developments.












“Lines of communication remain open,” White House spokesman Jay Carney told reporters when pressed on whether staff talks were taking place to avoid the steep tax hikes and budget cuts set for the first of next year unless the parties agree on a way to stop them.


Asked the same question, Boehner spokesman Michael Steel also said “lines of communication are open.”


The acknowledgement, even without signs of anything approaching a breakthrough, passed for encouraging news after a week of public maneuvering on the fiscal cliff by both sides to gain the maximum political and public relations advantage.


Republicans have worried publicly and privately that they are losing the war of appearances in the battle over the cliff.


On Thursday, another poll showed Republicans may have reason to worry about public perception. A Quinnipiac University survey found respondents trust Obama and Democrats more than Republicans on the cliff talks by a wide margin – 53 percent to 36 percent.


In both public statements and private encounters, Obama has tried to encourage Republicans wavering from the position of the party leadership.


Republican Representative Tom Cole, who last week broke ranks with his party and agreed to accept higher tax rates on the richest Americans, said Obama took him aside at a White House Christmas party on Monday and joked about the criticism Cole had received from Republicans.


“The president pulled me over and he said, ‘Cole, come closer, I want to see the bruises,’” Cole told Reuters. “He said, ‘Seriously, I will go further on this thing than you guys think. I know we can get something done.’”


While other Republicans have questioned Obama’s commitment, Cole said, “I take him at his word,” adding: “The best is to get to that discussion as quickly as we can.”


‘SOLVABLE PROBLEM’


Obama, meanwhile, played to his strengths with the latest in a series of the sort of public events he has used against Republicans in the fiscal cliff fight: a visit with a family in the Virginia suburbs of Washington to illustrate how Republican tax proposals would hurt the middle class.


“The message that I think we all want to send to members of Congress is: this is a solvable problem,” Obama said while visiting the home of a couple in Falls Church, Virginia. “We are in the midst of the Christmas season and I think the American people are counting on this getting solved.”


Neither side in the showdown would characterize Wednesday’s conversation between Boehner and Obama or suggest it opened up new area of compromise.


Obama and Democrats in Congress want the tax cuts set to expire at the end of the year to be extended for taxpayers with incomes below $ 250,000 a year but not for the wealthiest 2 percent of Americans.


In exchange, the president has said he is willing to consider significant spending cuts wanted by Republicans to “entitlement” programs such as Medicare, the government health insurance plan for seniors.


Republicans have held out for an extension of all the tax cuts, but they have become increasingly divided about whether they can prevail in the face of Obama’s firm stance and Republican control of only the House but not the U.S. Senate.


TANGLING OVER DEBT LIMIT


The debt ceiling issue – the same one that provoked a showdown in 2011 that led to a downgrading of the U.S. credit rating – has become a centerpiece of the fiscal cliff debate, thanks in part to Obama’s insistence that Congress give him enhanced power to increase the debt limit, which needs to be raised again in the next few months.


“It ought to be done without delay and without drama,” Carney, the White House spokesman, said of raising the debt ceiling.


That issue produced a largely partisan procedural scuffle on Thursday in the Senate when Republicans tried to provoke a vote on giving Obama the power to raise the debt ceiling on his own.


Senate Republican leader Mitch McConnell, who had argued that not even Democrats would support giving Obama greater flexibility, tried to prove it by pushing for a vote.


When Senate Democratic leader Harry Reid went ahead and scheduled it, confident he had enough support to win on a straight majority vote, the Republicans backed down, with McConnell demanding that 60 votes be required for passage, more than the Democrats can muster.


No new vote was scheduled. While the measure could come up again, it was dead for the moment.


“Senator McConnell took obstruction to new heights by filibustering his own bill,” Reid said in a statement.


Democratic Senator Charles Schumer of New York told reporters that Republicans were losing the argument on raising top tax rates and “are trying to pivot away to other parts of the fiscal cliff in a desperate attempt to assert leverage and change the subject.”


The exchange may be a taste of things to come as Congress moves toward the fiscal cliff deadline.


Economists have warned a plunge over the cliff could drive the economy back into a recession. Mark Zandi, chief economist at Moody’s Analytics, told the congressional Joint Economic Committee that failure to strike a deal could have serious economic consequences relatively quickly.


“By mid-February you would be doing a lot of damage,” Zandi said.


(Additional reporting by Margaret Chadbourn, Rachelle Younglai, David Lawder, Jason Lange; Writing by John Whitesides; Editing by Fred Barbash and Eric Beech)


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Will anyone else join the 'compromise club'?


WASHINGTON—While President Barack Obama and House Speaker John Boehner negotiate a deal to avoid a series of automatic tax increases and spending cuts set to begin next year, both camps continue to publicly tangle over whether to increase taxes on the wealthy.


But within Boehner's caucus, there is a small group of Republicans who say they are open to raising tax rates, but only for a price.


"We should have everything on the table, and we should discuss it," said Michael Mahaffey, a spokesman for Florida Republican Rep. Tom Rooney. Rooney has expressed a willingness to let taxes go up in return for a massive restructuring of the way the federal government pays for Social Security and Medicare. "If we can get a big deal that includes real entitlement reform, then we should consider ways to balance that with more revenue," Mahaffey continued.


For Rooney, the specific language outlining the entitlement overhaul would need to be written into the bill and not just promised as a future goal. It also must be immediate.


Ohio Republican Rep. Steve LaTourette, an outgoing member who is also open to tax increases as part of a grand bargain, said he won't budge for less than $4 trillion to $6 trillion in deficit reduction over 10 years.


There are only a handful of other Republican members who have been willing to publicly say they agree.


LaTourette and Republican Rep. Mike Simpson of Idaho co-signed a letter with Democratic Reps. Heath Shuler of North Carolina and Jim Cooper of Tennessee that they plan to send to House and Senate leaders urging them not to keep anything off-limits, even tax increases.


"To succeed, all options for mandatory and discretionary spending and revenues must be on the the table," the bipartisan House members write in the letter. They intend to gather more signatures before sending it to congressional leaders.


Still, the Compromise Club remains small. Oklahoma Republican Rep. Tom Cole, who has been a ubiquitous face on cable news of late, was one of the most recent to express an openness to compromise on tax rates.


This week, Democratic House Minority Leader Nancy Pelosi and Treasury Secretary Timothy Geithner reiterated that there will be no agreement without raising income tax rates on households earning more than $250,000 annually. Boehner has remained equally steadfast in his unwillingness to agree to anything that raises those rates, offering a plan to raise revenue by eliminating loopholes and deductions within the tax code instead.


Many Democrats continue to oppose any measure that would alter the entitlement reforms, and there remains staunch opposition to any tax increases among Republicans. As of this week, talks between Obama and Boehner appear to remain at a standstill.


This article has been updated since publication.



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Death toll from Philippine typhoon nears 300












NEW BATAAN, Philippines (AP) — Stunned parents searching for missing children examined a row of mud-stained bodies covered with banana leaves while survivors dried their soaked belongings on roadsides Wednesday, a day after a powerful typhoon killed nearly 300 people in the southern Philippines.


Officials fear more bodies may be found as rescuers reach hard-hit areas that were isolated by landslides, floods and downed communications.












At least 151 people died in the worst-hit province of Compostela Valley when Typhoon Bopha lashed the region Tuesday, including 78 villagers and soldiers who perished in a flash flood that swamped two emergency shelters and a military camp, provincial spokeswoman Fe Maestre said.


Disaster-response agencies reported 284 dead in the region and 14 fatalities elsewhere from the typhoon, one of the strongest to hit the country this year.


About 80 people survived the deluge in New Bataan with injuries, and Interior Secretary Mar Roxas, who visited the town, said 319 others remained missing.


“These were whole families among the registered missing,” Roxas told the ABS-CBN TV network. “Entire families may have been washed away.”


The farming town of 45,000 people was a muddy wasteland of collapsed houses and coconut and banana trees felled by Bopha’s ferocious winds.


Bodies of victims were laid on the ground for viewing by people searching for missing relatives. Some were badly mangled after being dragged by raging flood waters over rocks and other debris. A man sprayed insecticide on the remains to keep away swarms of flies.


A father wept when he found the body of his child after lifting a plastic cover. A mother, meanwhile, went away in tears, unable to find her missing children. “I have three children,” she said repeatedly, flashing three fingers before a TV cameraman.


Two men carried the mud-caked body of an unidentified girl that was covered with coconut leaves on a makeshift stretcher made from a blanket and wooden poles.


Dionisia Requinto, 43, felt lucky to have survived with her husband and their eight children after swirling flood waters surrounded their home. She said they escaped and made their way up a hill to safety, bracing themselves against boulders and fallen trees as they climbed.


“The water rose so fast,” she told AP. “It was horrible. I thought it was going to be our end.”


In nearby Davao Oriental, the coastal province first struck by the typhoon as it blew from the Pacific Ocean, at least 115 people perished, mostly in three towns that were so battered that it was hard to find any buildings with roofs remaining, provincial officer Freddie Bendulo and other officials said.


“We had a problem where to take the evacuees. All the evacuation centers have lost their roofs,” Davao Oriental Gov. Corazon Malanyaon said.


The International Federation of Red Cross and Red Crescent Societies issued an urgent appeal for $ 4.8 million to help people directly affected by the typhoon.


The sun was shining brightly for most of the day Wednesday, prompting residents to lay their soaked clothes, books and other belongings out on roadsides to dry and revealing the extent of the damage to farmland. Thousands of banana trees in one Compostela Valley plantation were toppled by the wind, the young bananas still wrapped in blue plastic covers.


But as night fell, however, rain started pouring again over New Bataan, triggering panic among some residents who feared a repeat of the previous day’s flash floods. Some carried whatever belongings they could as they hurried to nearby towns or higher ground.


After slamming into Davao Oriental and Compostela Valley, Bopha roared quickly across the southern Mindanao and central regions, knocking out power in two entire provinces, triggering landslides and leaving houses and plantations damaged. More than 170,000 fled to evacuation centers.


As of Wednesday evening, the typhoon was over the South China Sea west of Palawan province. It was blowing northwestward and could be headed to Vietnam or southern China, according to government forecasters.


The deaths came despite efforts by President Benigno Aquino III’s government to force residents out of high-risk communities as the typhoon approached.


Some 20 typhoons and storms lash the northern and central Philippines each year, but they rarely hit the vast southern Mindanao region where sprawling export banana plantations have been planted over the decades because it seldom experiences strong winds that could blow down the trees.


A rare storm in the south last December killed more than 1,200 people and left many more homeless.


The United States extended its condolences and offered to help its Asian ally deal with the typhoon’s devastation. It praised government efforts to minimize the deaths and damage.


___


Associated Press writers Jim Gomez, Teresa Cerojano and Oliver Teves in Manila contributed to this report.


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In brewing rivalry, Instagram trims ties to Twitter












SAN FRANCISCO (Reuters) – Facebook Inc’s recently acquired photo-sharing service Instagram removed a key element of its integration with Twitter, signaling a deepening rift between two of the Web’s dominant social media companies.


Instagram Chief Executive Kevin Systrom said Wednesday his company turned off support for Twitter “cards” in order to drive Twitter users to Instagram’s own website. Twitter “cards” are a feature that allows multimedia content like YouTube videos and Instagram photos to be embedded and viewed directly within a Twitter message.












The move marked the latest clash between Facebook and Twitter since April, when Facebook, the world’s no. 1 social network, outbid Twitter to nab fast-growing Instagram in a cash-and-stock deal valued at the time at $ 1 billion. The acquisition closed in September for roughly $ 715 million, reflecting Facebook’s recent stock drop.


The companies’ ties have been strained since. In July, Twitter blocked Instagram from using its data to help new Instagram users find friends.


Beginning earlier this week, Twitter’s users began to complain in public messages that Instagram photos did not seem to display properly on Twitter’s website.


Systrom confirmed Wednesday that his company had decided its users should view photos on Instagram’s own Web pages and took steps to change its policies.


“We believe the best experience is for us to link back to where the content lives,” Systrom said in a statement, citing recent improvements to Instagram’s website.


“A handful of months ago, we supported Twitter cards because we had a minimal Web presence,” Systrom said, noting that the company has since released new features that allow users to comment about and “like” photos directly on Instagram’s website.


The move escalates a rivalry in the fast-growing social networking sector, where the biggest players have sought to wall off access to content from rival services and to their ranks of users.


“They’re both competing for slices of the same pie, the pie being users’ attention,” said Ray Valdes, an analyst with research firm Gartner.


If Facebook decides to offer advertising on Instagram, it’s important that the users visit Instagram’s own website, said Valdes. “If the eyeballs are elsewhere, you have less to work with in terms of monetization,” he said.


Photos are among the most popular features on both Facebook and Twitter, and Instagram’s meteoric rise in recent years has further proved how picture-sharing has become a key front in the battle for social Internet supremacy.


Instagram, which has 100 million users, allows consumers to tweak the photos they take on their smartphones and share the images with friends, a feature that Twitter has reportedly also begun to develop. Twitter’s executive chairman, Jack Dorsey, was an early investor in Instagram and had hoped to acquire it before Facebook CEO Mark Zuckerberg made a successful bid.


When Zuckerberg announced the acquisition in an April blog post, he highlighted Instagram’s inter-connectivity with other social networks.


“We think the fact that Instagram is connected to other services beyond Facebook is an important part of the experience,” Zuckerberg wrote. “We plan on keeping features like the ability to post to other social networks.”


A Twitter spokesman declined comment Wednesday, but a status message on Twitter’s website confirmed that users are “experiencing issues,” such as “cropped images” when viewing Instagram photos on Twitter.


(Reporting By Alexei Oreskovic and Gerry Shih; Editing by Nick Zieminski and Leslie Adler)


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