Well so far it killed three birds in one stone which are:
1- Flickr: Flickr was one of the most successful photography portfolios on the web then extended to mobile apps, yet it didn't match Instagram's simplicity and hype. Flickr even reached a point where it had to imitate Instagram yet to no avail.
2- Keek & Vine: With Instagram offering video upload keek does not withstand any chance of keeping up with it even though it was the first in the business. It might survive thanks to its "over 15 seconds" upload limit which is limited in Instagram but with a much more "trashy" content it might never stand a chance.
3- Cinemagram: It may not be as famous as Flickr or Keek but that doesn't mean we cannot give it justice and allow it to die honorably. Cinemagram is the only broad app that offers GIF "motion pictures". Now with the short/limited time period available in Instagram videos, these videos simply can be seen as any other GIF image which would make people replace Cinemagram in a heartbeat.
So the latest update from Instagram either killed three apps in one stone OR it will kill most instagram members for good and become another "trashy" app.