Shutterstock has revealed that it intends to acquire, next month, the animated image platform, Giphy, from the Meta company for $53 million. This comes after the owner of Facebook agreed to liquidate the company due to competition concerns.
It is worth noting that the value of the deal is much less than the $315 million that Meta paid to acquire Giphy in 2020.
In November 2021, the UK competition watchdog told Meta, the parent company of Facebook, that it had to sell the GIF-sharing platform Giphy.
The Competition and Markets Authority said that the deal could harm social media users and advertisers in the United Kingdom, which Mita refused, as it is considering appealing the decision.
The regulator concluded that Meta’s acquisition of Giphy would reduce competition between social media platforms. She added that the deal had already removed “Giphy” as a potential competitor in the display advertising market.