Instagram Does an About-Face - NYTimes.com In the aftermath of an uproar over changes to its privacy policy and terms-of-service update earlier this week, Instagram did an about-face late Thursday. In a blog post, Kevin Systrom, Instagram's co-founder, said the company would revert to previous terms of service in effect since October 2010. "Going forward, rather than obtain permission from you to introduce possible advertising products we have not yet developed, we are going to take the time to complete our plans, and then come back to our users and explain how we would like for our advertising business to work," Mr. Systrom wrote in the post. Users were particularly concerned by a clause in Instagram's policy suggesting that the service would share users' data -- such as their favorite places, bands, restaurants and hobbies -- with Facebook, Instagram's owner, and its advertisers to better target ads. They also took issue with an update to the company's terms of service that suggested that users' photos could be used in advertisements, without compensation or even without their knowledge. "You agree that a business or other entity may pay us to display your username, likeness, photos (along with any associated metadata), and/or actions you take, in connection with paid or sponsored content or promotions, without any compensation to you," the terms said. Acknowledging those concerns late Thursday, Mr. Systrom said: "I want to be really clear: Instagram has no intention of selling your photos, and we never did. We don't own your photos - you do. But Mr. Systrom did not clarify how Instagram plans to make money, which Facebook is under pressure to do after acquiring the service for $735 million this year. "It's a free service -- they have to monetize somewhere," said John Casasanta, a principal at Tap Tap Tap, the maker of a photo-filter app that has shunned advertising and instead charges users for premium features. The days of the simple banner ads are gone. Their user data is too valuable. It was unclear whether reverting its terms of service will be enough to satisfy high-profile users like National Geographic, which suspended its Instagram account in light of the moves, or other users who have erred their grievances on Twitter and Facebook. Responding to Instagram's blog post, one user wrote, "Well, it's looks like folks over at Instagram heard you." Others indicated it was too little, too late. "Already deleted my account," one wrote. This is for those who still own one.