Facebook parent Meta to sell Giphy, giving up battle with UK regulators

[rvZA]

Facebook owner Meta has given up its fight against the U.K. government's insistence that it sell animated picture platform Giphy, agreeing Tuesday to unwind its acquisition of the New York-based firm on the orders of the foreign regulator.


The U.K.'s antitrust watchdog, the Competition and Markets Authority (CMA), this week re-affirmed its ruling from last year that Meta's purchase of Giphy would stifle competition and innovation.

Meta said it would not issue another appeal of CMA's decision.

"We are disappointed by the CMA’s decision but accept today’s ruling as the final word on the matter," a Meta spokesperson told FOX Business in a statement. "We will work closely with the CMA on divesting GIPHY."

The spokesperson added that Meta "will continue to evaluate opportunities – including through acquisition – to bring innovation and choice to more people in the UK and around the world."

Facebook parent Meta to sell Giphy, giving up battle with UK regulators

Facebook owner Meta is throwing in the towel after a lengthy battle with a U.K. watchdog, agreeing to sell Giphy at the behest of the foreign regulator.

www.foxbusiness.com

 

[rvZA]

I find it extremely strange that the UK could intervene in a deal between two US companies which was done in the US. A bit of overreach here.

But, probably the reason for this is that Facebook has offices in the UK and pays tax there.

If I was Facebook, I would close my UK businesses, stop paying taxes. UK citizens will find a way to keep using Facebook and its services in the US. Facebook would save lot of money on taxes and legal costs and also no need to worry of adhere to UK laws.