New disappointment for Meta. Already facing a growth crisis that worries both employees and investors, the American giant will have to part with Giphy, the famous platform specializing in gifs acquired in 2020 for 400 million dollars. After having exhausted all the arguments to keep Giphy in its fold, the Menlo Park firm was finally forced to comply with the requirements of the British Competition and Markets Authority (CMA).
Facebook, the essential mobile application to access your account and keep in touch with your friends from your smartphone.
-
Downloads:
591 -
Release date :
10/14/2022 -
Author :
Facebook Inc. -
Licence :
Free license -
Categories:
Internet-Communications
-
Operating system :
Android, Online service All Internet browsers, Windows 10/11, iOS iPhone / iPad
Indeed, the regulator estimated that “sell totally” Giphy was “the only way to avoid a major impact” of this acquisition on the competition, mainly in the online advertising and social media markets. The CMA had already reached this conclusion a year ago, but Meta had unsurprisingly appealed this decision. However, the American group did not succeed in further convincing the British authorities, who decided to whistle the end of recess.
Cornered, Meta therefore resigned himself to selling Giphy to end his showdown with the regulator across the Channel. “We will work closely with the CMA on this sale”, said a spokesperson for Mark Zuckerberg’s company. This outcome seemed inevitable since the British authority imposed a £50.5 million fine on Meta in October 2021 for continuing the merger process despite an ongoing investigation. The gifs, described as “cheesy” by representatives of Giphy to try to make the regulator swallow the pill, will therefore never be able to flood Facebook and Instagram.