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The CMA said the acquisition could be used to deny or limit other platforms’ access to Giphy GIFs and drive more traffic to Facebook, WhatsApp, and Instagram.
Is Giphy's lead as a provider of gifs that significant? I thought there were multiple such providers? Who is out there using the Meta apps because they provide Giphy? I'm all for splitting the big tech but this reasoning doesn't make sense to me.
The CMA said the acquisition could be used to deny or limit other platforms’ access to Giphy GIFs and drive more traffic to Facebook, WhatsApp, and Instagram. It also raised concerns that it could be used to require other platforms to provide more data to access the GIFs. Finally, the CMA also believes that Giphy’s advertising services could have competed with Meta’s, but that these were shuttered as a result of the merger.
Why is this only being realized now? What's so different about the technological or economic landscape from 2 years ago regarding GIF hosting?
And what makes Giphy more valuable than any other image hosting site like Imgur, ImageShack, Photobucket, etc? Surely if Meta did any of that, users would simply migrate to one of many other platforms.