Facebook is acquiring Giphy an online platform being used for creating GIF images for an undisclosed sum which is estimated to be $400 million by news website Axios. Facebook will integrate Giphy with its rapidly growing app Instagram as announced on its blog post today
Earlier Giphy had declined a Facebook offer to take it over and it continued its growth by developing own products which integrates with many social media platforms.
Vishal Shah the vice president products at Instagram said in the blog post, Giphy will continue its operations the same way it had supported its users, Twitter, Snapchat, and ByteDance’s TikTok as well as Giphy’s creative community.
The American Economic Liberties Project, a Washington-based antitrust advocacy group, urged regulators to investigate and block the Facebook and Giphy acquisition stating that Facebook and Google centralize to take control over online communications.
50% of Giphy’s traffic already comes from Facebook’s apps while Instagram contributes half of that, Facebook’s blog post said.
