Retro, the friend-focused photo-sharing app created by two former Instagram product engineers, has raised more than EUR 18 million in Series A funding, according to a filing with the U.S. Securities and Exchange Commission. The company behind the app operates under the name Lone Palm Labs.
The SEC filing, dated August 19, indicates the funding round actually closed in December. Pitchbook now estimates the startup’s valuation at more than EUR 86 million. Founders Nathan Sharp and Ryan Olson, both of whom previously worked on Instagram, are betting on a return to more direct social connections at a time when algorithmic feeds and AI-generated content dominate mainstream platforms.
A Bet Against Algorithmic Feeds
The funding reflects continued demand for social apps that connect people directly rather than through personalized algorithms packed with creator posts and, increasingly, low-quality AI content. Sharp has argued that users still want to see more of their friends despite the rise of For You-style feeds, adding that personal photos and videos need a dedicated space to reach their intended audience.
Launched in 2023 as a personal photo journal, Retro has expanded its feature set considerably. Users can now privately share photos from their week with friends, build shared albums, view and send recaps, and “rewind” through past photo memories. The evolution positions the app as a more social product than its original single-user design.
Subscription Model Over Advertising
One key differentiator is the app’s business model. Retro does not rely on advertising to generate revenue. Instead, the company sells in-app subscriptions that unlock additional features, including support for video, GIF, and sticker comments, more design styles, unlimited history, and special app icons.
According to app intelligence provider Appfigures, Retro has been downloaded roughly 7 million times since launch. In-app spending has climbed more than 460% over the past 180 days. While subscribers remain a small share of the overall user base, those who pay are viewed as committed users who rely on the app regularly for photo sharing.
Investors Backing the Startup
The round drew a notable group of backers. Investors in Retro include Thrive Capital, Figma CEO Dylan Field, Scribble Ventures, Box Group, Imaginary Ventures, Coalition, Conviction, Copper, Positive Sum, and various angel investors.
The mix of institutional funds and prominent individual backers underscores growing interest in consumer social apps that prioritize private connections over public, algorithm-driven content. The startup has previously declined to comment on the raise. As of the latest available data, Retro remains available on mobile with its subscription-based feature tiers in place.
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Image: techcrunch.com
