{"id":1703225,"date":"2022-10-20T06:30:14","date_gmt":"2022-10-20T10:30:14","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1703225"},"modified":"2022-10-20T09:03:47","modified_gmt":"2022-10-20T13:03:47","slug":"uk-regulators-forcing-facebook-to-sell-part-of-its-business","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/uk-regulators-forcing-facebook-to-sell-part-of-its-business\/","title":{"rendered":"UK Regulators Forcing Facebook to Sell Part of Its Business"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">20<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fuk-regulators-forcing-facebook-to-sell-part-of-its-business%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1703225&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47-->\n<p>Meta\u00a0this week accepted a reissued ruling by the British competition regulator to divest itself of its social media animation unit, <a href=\"https:\/\/www.theepochtimes.com\/t-giphy\">Giphy<\/a>.<\/p>\n<p>The decision by the Competition and Markets Authority (CMA) was first announced last year, which Meta unsuccessfully appealed.<\/p>\n<p>The CMA again <a href=\"https:\/\/www.gov.uk\/government\/news\/cma-orders-meta-to-sell-giphy\">declared on Oct. 18,<\/a> that Meta\u2019s acquisition of Giphy\u00a0would allow it to \u201climit other social media platforms\u2019 access to GIFs, making those sites less attractive to users and less competitive.\u201d<\/p>\n<p>Citing the risk of ownership towards competition in social media and display advertising, the government authority said that Meta must \u201csell GIPHY, in its entirety, to a suitable buyer,\u201d saying that this was its \u201cfinal decision.\u201d<\/p>\n<p>\u201cThis deal [Meta buying Giphy] would significantly reduce competition in 2 markets. It has already resulted in the removal of a potential challenger in the <a href=\"https:\/\/www.theepochtimes.com\/t-uk\">UK<\/a> display ad market, while also giving Meta the ability to further increase its substantial market power in social media,\u201d said Stuart McIntosh, chair of the CMA\u2019s independent investigatory panel in an <a href=\"https:\/\/www.gov.uk\/government\/news\/cma-orders-meta-to-sell-giphy\">Oct. 18 statement<\/a>.<\/p>\n<p>\u201cThe only way this can be addressed is by the sale of Giphy. This will promote innovation in digital advertising, and also ensure UK social media users continue to benefit from access to Giphy.\u201d<\/p>\n<p>The landmark decision is the first time a global regulator has forcefully decoupled an acquisition by a Big Tech company, <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-10-18\/meta-ordered-again-to-sell-giphy-as-uk-watchdog-blocks-deal?srnd=premium-uk\">reported Bloomberg.<\/a><\/p>\n<p>Meta said it was \u201cdisappointed by the CMA\u2019s decision but accept today\u2019s ruling as the final word on the matter,\u201d <a href=\"https:\/\/www.businessinsider.com\/meta-ordered-to-sell-giphy-by-uk-competition-regulator-2022-10?IR=T\">in a statement to Business Insider.<\/a><\/p>\n<p>\u201cWe will work closely with the CMA on divesting GIPHY \u2026 We will continue to evaluate opportunities \u2013 including through acquisition \u2013 to bring innovation and choice to more people in the UK and around the world.\u201d<\/p>\n<p> US Big Tech Versus European Regulators <\/p>\n<p>The California-based tech giant, which gained control of Giphy in May 2020, for $400 million, was already the parent company of <a href=\"https:\/\/www.theepochtimes.com\/t-facebook\">Facebook<\/a>, Instagram, WhatsApp, and Oculus. The social media company immediately gained control of half of the U.K.\u2019s $8 billion online advertising market by removing Giphy as a challenger.<\/p>\n<p>The CMA immediately started to investigate Meta after its acquisition of the graphics firm, in a review lasting from June 2020 to October 2021.<\/p>\n<p>The CMA originally made its decision in November 2021 ordering Meta to divest Giphy, after it declared the merger as a threat to competition.<\/p>\n<p> <a href=\"https:\/\/img.theepochtimes.com\/assets\/uploads\/2022\/08\/1.tagreuters.com2022binary_LYNXMPEI700L3-FILEDIMAGE-1200x805.jpg\"><\/a> The logo of Meta Platforms in Davos, Switzerland, on May 22, 2022. (Arnd Wiegmann\/Reuters) <\/p>\n<p>Meta was also fined $70 million after multiple warnings for failing to report all of the required information regarding its future competition practices, after buying Giphy<a href=\"https:\/\/www.businessinsider.com\/facebook-giphy-acquisition-antitrust-cma-fine-for-breaching-order-2021-10\">, according to Business Insider.<\/a><\/p>\n<p>The regulatory authority said that the American tech giant would have the power to limit its social media rivals\u2019 access to GIFs, such as TikTok, Twitter, and Snapchat, and force them to provide valuable user data in the U.K. in exchange.<\/p>\n<p>Meta was also able to absorb Giphy\u2019s in-house advertising services into its own system after the acquisition.<\/p>\n<p> Meta Appeal <\/p>\n<p>Meta appealed the U.K.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Meta\u00a0this week accepted a reissued ruling by the British competition regulator to divest itself of its social media animation unit, Giphy. The decision by the Competition and Markets Authority (CMA) was first announced last year, which Meta unsuccessfully appealed. The CMA again declared on Oct. 18, that Meta\u2019s acquisition of Giphy\u00a0would allow it to \u201climit &hellip;<\/p>\n","protected":false},"author":1,"featured_media":1898757,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[547],"tags":[],"class_list":["post-1703225","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-bongino-report"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1703225","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1703225"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1703225\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1898757"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1703225"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1703225"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1703225"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}