UK regulators order Meta to sell Goofy's website

 

UK regulators order Meta to sell Goofy's website

Image source : Such tv

A British competitor commissioned Meta (the new name for parent company Facebook) to sell the Giffy service, which enables the creation of GIF images.

Remember that in May 2020 Facebook announced that it would buy Goofy and make it part of Instagram.

Vishal Shah, Vice President of Facebook's Product Division, confirmed this in a blog post, saying, "By combining Instagram and Goofy, we make it easier for people to find the best Gifs and Stickers in Stories and Direct." '

Today, the UK Competition and Markets Authority (CMA) says the move is necessary to protect millions of social media users and prevent Facebook from increasing its power over social media.

CMA's investigation into Meta's 2020 acquisition of Goffy for 400 million yen was launched due to competition concerns.

Goofy is also used by users of various social networks such as SnapChat, TickTalk, and Twitter.

The UK agency says Meta could block the provision of moving images to its competing apps or require more user data to use Goofy.

The CMA added that the Facebook acquisition leaves a large company out of the UK display advertising market, where Facebook already has a 50% market share.

According to the CMA, there are concerns that Goofy's advertising services are being phased out by Facebook, which Meta promised to increase when the two companies merge.

"By forcing Facebook to sell Goofy, we will protect millions of social media users and promote competition in digital advertising," the statement added.

Meta, on the other hand, decided to appeal the decision, saying that the purchase contract is best for Goofy, consumers and businesses.

A Meta spokesperson said: “We do not agree with this decision, we are considering all options, including review and appeal.

Source: suchtv