April 9, 2012: Facebook buys Instagram to the tune of $1 billion.
May 24, 2012: Facebook releases their own camera app, which, at face value, looks like an Instagram competitor.
I don’t think that the two are that much alike. Yes, the Facebook Camera app has filters, but it’s self-contained to the Facebook ecosystem. You can only see the pictures from people with whom you’re friends with, and that’s the case with sharing. With Instagram, on the other, you can view only your Instagram feed but share on Twitter in addition to Facebook. Again, it’s self-contained, but there are overlaps that exist.