{"id":141530,"date":"2022-10-19T16:22:26","date_gmt":"2022-10-19T10:52:26","guid":{"rendered":"https:\/\/centralrecorder.com\/facebook-parent-meta-agrees-to-sell-giphy-after-order-from-u-k-watchdog\/"},"modified":"2022-10-19T16:23:00","modified_gmt":"2022-10-19T10:53:00","slug":"facebook-parent-meta-agrees-to-sell-giphy-after-placing-an-order-from-the-u-k-watchdog","status":"publish","type":"post","link":"https:\/\/centralrecorder.com\/facebook-parent-meta-agrees-to-sell-giphy-after-placing-an-order-from-the-u-k-watchdog\/","title":{"rendered":"Facebook Parent Meta agrees to sell Giphy after placing an order from the U.K. Watchdog"},"content":{"rendered":"\n
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Facebook parent Meta Platforms on Tuesday agreed to sell Giphy after Britain\u2019s competition regulator ruled that the 2020 acquisition of the animated-images platform reduced innovation in the advertising market.<\/p>\n

\u201cMeta\u2019s takeover of Giphy could allow Meta to limit other social media platforms\u2019 access to GIFs, making those sites less attractive to users and less competitive,\u201dThe Competition and Markets Authority Statement<\/a> Tuesday. <\/p>\n

The watchdog group said that the deal valued at $400 million was not a bad deal. \u201chas removed Giphy as a potential challenger in the UK display advertising market, preventing UK businesses from benefiting from innovation in this market.\u201d<\/p>\n

\n\t\t\t\t\t\t\t\t\t\"Meta\u2019s<\/p><\/div>\n

Meta indicated that it would be happy to accept the order. \u201cWe are disappointed by the CMA\u2019s decision but accept today\u2019s ruling as the final word on the matter,\u201dA Meta spokesperson Statement<\/a>. \u201cWe will work closely with the CMA on divesting Giphy.\u201d<\/p>\n

The regulator blocked the deal in November, arguing that the Instagram and WhatsApp owner would deny or limit competitor\u2019s access to GIFs created on the Giphy platform.<\/p>\n

\u201cThe deal has already removed Giphy as a potential challenger in the display advertising market,\u201dIt stated in a statement that Meta had to be sold when it demanded Meta’s resignation. It found out that Giphy had launched the platform during its probe. \u201cinnovative advertising services which it was considering expanding to countries outside the US, including the UK\u201d before the deal, working with companies like Dunkin\u2019 Donuts and Pepsi, to use visual images and GIFS in ads.<\/p>\n

\n\t\t\t\t\t\t\t\t\t\"Netflix\u2019s<\/p><\/div>\n

CMA discovered that these advertising services are effective. \u201chad the potential to compete with Facebook\u2019s own display advertising services,\u201d \u201cwould have also encouraged greater innovation from others in the market, including social media sites and advertisers.\u201d But Meta spiked Giphy\u2019s ad services when it bought the company, \u201cremoving an important source of potential competition,\u201dThe agency estimated that Meta controls \u201cnearly half\u201d of the \u00a37 billion ($7.9 billion) display advertising market\u202fin the UK.<\/p>\n

Also among the concerns was that even if Meta didn\u2019t deny access to the GIFs, it could change its terms of service and demand that competitors like TikTok, Twitter and Snapchat \u201cprovide more user data in order to access Giphy GIFs.\u201d<\/p>\n

Meta appealed the November decision, but it was rejected in large part. Only one of the six arguments submitted by Meta was accepted. Before issuing its ruling, the regulator stated that it had reviewed all new evidence Meta and Giphy submitted in the past three months. <\/p>\n

\u201cThis deal would significantly reduce competition in two markets,\u201dStuart McIntosh, chairperson of an independent inquiry committee. \u201cIt has already resulted in the removal of a potential challenger in the UK display ad market, while also giving Meta the ability to further increase its substantial market power in social media.\u201d<\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

Facebook parent Meta Platforms on Tuesday agreed to sell Giphy after Britain\u2019s competition regulator ruled that the 2020 acquisition of the animated-images platform reduced innovation in the advertising market. \u201cMeta\u2019s takeover of Giphy could allow Meta to limit other social media platforms\u2019 access to GIFs, making those sites less attractive to users and less competitive,\u201dThe […]<\/p>\n","protected":false},"author":51,"featured_media":141531,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[101,3,105,106],"tags":[],"jetpack_featured_media_url":"https:\/\/centralrecorder.com\/wp-content\/uploads\/2022\/10\/Facebook-Parent-Meta-Agrees-to-Sell-Giphy-After-Order-From.jpg","_links":{"self":[{"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/posts\/141530"}],"collection":[{"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/users\/51"}],"replies":[{"embeddable":true,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/comments?post=141530"}],"version-history":[{"count":1,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/posts\/141530\/revisions"}],"predecessor-version":[{"id":141532,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/posts\/141530\/revisions\/141532"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/media\/141531"}],"wp:attachment":[{"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/media?parent=141530"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/categories?post=141530"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/centralrecorder.com\/wp-json\/wp\/v2\/tags?post=141530"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}