Not all users have seen the feature just yet, but it's rolling out to all
Facebook is making it even easier for users to upload photos, especially if they only want to add them to a post, they can just drag the photo or photos into the Update Status box and they will be uploaded automatically. The feature is rolling out now, but may not be enabled for all.Previously, the process of adding a photo to a post took plenty of clicks and it wasn't possible to add multiple photos at a time without creating an album first.
The feature should make it easier to post photos which, in turn, should mean even more photos added to Facebook.
While Instagram is now part of the site, Facebook Photos occupies a different role, a wider one and isn't going to be replaced by Instagram any time soon, or the other way around for that matter.
Drag and drop photos now works for status updates, in the timeline and also for the timeline cover photos. It's going to be enabled by default for any photo upload tool on the site eventually, though there will be other options for those with older browsers.