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UK watchdog: Facebook’s Giphy purchase hurts competition

UK watchdog: Facebook's Giphy purchase hurts competition
Facebook’s purchase of Giphy will hurt competition for animated images, イギリス. regulators said Thursday following an investigation

フェイスブック s purchase of Giphy will hurt competition for animated images, イギリス. regulators said Thursday, meaning the social network could ultimately be forced to unwind the deal if the provisional findings are confirmed.

ザ・ 競争市場庁 said the acquisition would hurt competition among social media platforms because there’s only one other big provider of GIFs, グーグル NS Tenor

Giphy’s library of short looping videos, or GIFs, are a popular tool for internet users sending messages or posting on social media.

The deal will also reduce digital advertising competition by removing a potential challenger from the market, 番犬は言った. It started looking into the acquisition last year, shortly after Facebook announced its plan to acquire Giphy in a deal reportedly worth $400 百万.

Facebook said it disagreed with the preliminary findings, which it didn’t we believe to be supported by the evidence.

“As we have demonstrated, this merger is in the best interest of people and businesses in the U.K. – and around the worldwho use GIPHY and our services,” Facebook said. “We will continue to work with the CMA to address the misconception that the deal harms competition.”