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Facebook ordered to sell moving images platform Giphy amid competition fears

Facebook ordered to sell moving images platform Giphy due to competition fears

Facebook’s owner has been ordered to sell moving images platform Giphy.

The UK’s Competition and Markets Authority told Meta to reverse the 2020 takeover.

The ruling came amid fears the US social media giant could block or limit rivals’ access to Giphy’s moving images, which are known as gifs. 

The UK’s Competition and Markets Authority has ordered Facebook-owner Meta to reverse the 2020 takeover of Giphy

The watchdog also argued that the £350million deal would reduce innovation in the advertising market.

The CMA first ordered Meta to sell Giphy last year. It has now reissued the order after Meta lost an appeal against the initial decision.

Responding, a spokesman for Meta said: ‘We are disappointed by the decision but accept the ruling as the final word on the matter. We will work closely with the CMA on divesting Giphy.’

The ruling was the first time Britain has blocked an acquisition by a US tech giant – signalling a new determination to scrutinise digital deals.

Stuart McIntosh, who led the investigation, said: ‘This deal would significantly reduce competition in two markets.’

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Read more at DailyMail.co.uk