Wal-Mart announced that Kevin Systrom, CEO of photo and video sharing app Instagram, has been appointed director at the retail chain.
Aside from the new position on the board, he will also serve in the Compensation, Nomination and Governance Committee and also the Technology and E-Commerce Committee.
"Kevin's entrepreneurial background and his technical and digital expertise will be invaluable as we further connect with customers and deploy new capabilities through e-commerce and mobile channels," Wal-Mart chairman Rob Walton said. "Wal-Mart is investing in e-commerce capabilities through talent, technology and fulfillment. Kevin's passion and deep knowledge of social media align with our focus to engage customers through our digital and physical channels."
Systrom, whose transfer goes into effect immediately, is exiting his company after just four years at the helm. He founded Instagram with Mike Krieger in 2010. The company's quick ascent did not go unnoticed, and it was quickly acquired by Facebook in 2012 in a deal worth $730 million.
"Wal-Mart has had a profound impact as a global leader in retail," Systrom said. "It's an honor to join the Wal-Mart board and have an opportunity to help provide more convenient and flexible ways for people to shop."
Since being acquired by Facebook, Instagram has flirted with a number of avenues for monetization. It is expected to soon introduce ads in the United States before expanding to other countries. The company also recently announced that it will begin testing the use of a buy button on its service.
Systrom is not the first tech executive to join the leadership team at Wal-Mart. Marissa Meyer, who was the CEO of Yahoo!, joined the Wal-Mart board after leaving the top post in 2012.
As part of Systrom's compensation, he received 1,586 shares of Wal-Mart common stock. He was also given a prorated portion of the $75,000 annual retainer given to non-management directors. He also received part of the additional $15,000 retainer that the company gives to people in his position who serve on more than one board committee.
