Facebook last year announced the acquisition of GIF database Giphy in a $400 million deal. However, it seems the transaction may not happen because regulators in the UK are ready to put a block on the acquisition.
The Financial Times reports the Competition and Markets Authority (CMA) in the UK will block Facebook’s move for Giphy this week. It seems the regulator is unhappy about the result the deal will have on competition.
There is a concern that Facebook – no known as Meta – will prevent GIFs from the Giphy library from being used on other social media platforms. At the moment, the data base is available on numerous services, including TikTok and Snapchat.
CMA also has worries about how Meta will run Giphy and if it will allow competitors to run on its own platforms like WhatsApp, Instagram, Messenger, and Facebook.
Much of Meta’s growth away from the Facebook platform has come from snapping up competitors, such as the deals to buy WhatsApp and Instagram. As the company plans for the Metaverse concept, it is likely to come under greater scrutiny. This could be the first sign of the regulatory position Meta finds itself in.
Facebook announced its rebranding to Meta earlier this month. While Facebook still exists, Meta is the new parent company that oversees all aspects of the business.
Metaverse will underpin the rebrand and could even be the company name. If you are unfamiliar, Metaverse is a virtual world where users can access through MR headsets to learn, play, shop, and interact. Yes, it is exactly like the OASIS in Ready Player One and yes you probably should be terrified that a company like Facebook is focusing on this kind of technology.
Tip of the day: File History is a Windows back up feature that saves each version of files in the Documents, Pictures, Videos, Desktop, and Offline OneDrive folders. Though its name implies a primary focus on version control, you can actually use it as a fully-fledged backup tool for your important documents.