Why in mergers two might not be better than one I n the Spring of 2012 Facebook agreed to buy a small Silicon Valley startup that had a neat smartphone app that allowed people to take retro-looking photos and share them. The startup had 13 full time employees and had started life less than two years previously. The price paid by Facebook was a cool $1bn. But perhaps the most significant development was not the price or strategic intent, but the speed of interested parties to offer anti-Facebook consumers alternatives to its new purchase.Facebook was just a few years old, but already the size of the market for people not wanting to use it was well defined.