The UK's Competition and Markets Authority (CMA) will investigate Facebook's acquisition of GIPHY. The authority is concerned that the acquisition may be disruptive to the market. It is unclear what exactly the British market watchdog has for this.
Facebook planned to integrate GIPHY with Instagram, but those developments have been halted as part of the investigation, a source reports Reuters news agency .
In a statement, Facebook shows confidence in the outcome of the investigation. "We are ready to show authorities that this acquisition is positive for consumers, developers and content creators," the company said.
GIPHY comes with a similar statement. "Everyone will continue to have the same access to GIPHY. We look forward to showing how this collaboration is a win for users, partners and content creators."
Facebook announced the acquisition of GIPHY in May. It has not been disclosed how much money is involved in the deal. It is said to be about 400 million dollars (over 356 million euros).
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