Facebook Chief Financial Officer David Ebersman spoke about a “formidable competitor” at the Morgan Stanley Technology, Media, & Telecom Conference in San Francisco Wednesday, but the social network happens to own that competitor: photo-sharing application Instagram.

CNET reported that in response to a question about whether competitors are attracting attention away from Facebook, Ebersman replied:

One of the services that is, I think, a quite formidable competitor is Instagram.

CNET pointed out that Facebook also made references to competing with Instagram in its 10-K annual report to the Securities and Exchange Commission, writing:

We believe that some of our users, particularly our younger users, are aware of and actively engaging with other products and services similar to, or as a substitute for, Facebook. For example, we believe that some of our users have reduced their engagement with Facebook in favor of increased engagement with other products and services such as Instagram.

Readers: Do you find it strange that Facebook considers a company that it owns to be a competitor?