The Competition and Trademark Authority (CMA) said the decision was in line with preliminary findings that Facebook’s acquisition of Giphy would reduce competition between social media platforms and in the display advertising market.
“The combination of Facebook and Giphy has already eliminated a potential competitor in the display advertising market… By requiring Facebook to sell Giphy, we are protecting millions of social media users and fostering competition and innovation in the digital advertising,” Stuart said. McIntosh, chairman of the Independent Investigation for the CMA.
Facebook, now rebranded as Meta Platforms as the parent company of the eponymous social media network, said it disagreed with the decision.
“We are reviewing the decision and considering all options, including appeal,” a Meta spokesperson said.
In October, the CMA fined the company around $70 million for violating an order imposed during its investigation into the deal, after hinting in August that it might need Facebook to sell Giphy.
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