Meta has appealed to Britain’s ruling that the company must Giphy, stating the evidence does not support the discovery that the deal poses a threat to its rivals or could have an impact on advertising competition.
The British Competition and Markets Authority (CMA) ordered Meta to sell Giphy, which the company acquired for USD 400 million in May 2020, last month after it ruled that the remedies offered by the company did not answer its concerns.
The CMA rejected the remedy, which Meta promised to make legally binding, in part because it would require ongoing monitoring. Meta said Giphy’s advertising business was unsuccessful, and if it had the potential to be a major competitor its model could be duplicated by any other GIF provider. It argues that the agreement did not meet the “substantial lessoning of competition” requirement for the CMA to block it.
Read More: ETBrandEquity
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