Some or all of the Service may be supported by advertising revenue. To help us deliver interesting paid or sponsored content or promotions, 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.
Note that this includes minor children.
If you are under the age of eighteen (18), or under any other applicable age of majority, you represent that at least one of your parents or legal guardians has also agreed to this provision (and the use of your name, likeness, username, and/or photos (along with any associated metadata)) on your behalf.
Oh, and you agree to indemnify them in case of breach of privacy. (That means you agree to pay their legal team in the event one of your subjects sues for being included in a viagra advertisement).
(Item 4 in Rights)
And this part in Indemnification:
Note that this language seems to grant a license to the actual photograph, and not just the copy uploaded to Instagram. If they could find a high-res version somewhere, they may have the rights to that also.
The only opt-out is to delete your account.
The changes take effect January 16, 2013. So, what does one do? Well, I don’t see much option except to delete the account. And if your tween or teen child has an instagram account (and many of them do), you’ll want to think about blocking that.
Instagram claims the rights to any photos uploaded after January 16th in perpetuity, regardless of whether you delete your account later.
(Cnet article here.)
This is breathtakingly horrible.