Technology

Facebook fined $70 mln in Britain for breaching order in Giphy deal

Facebook said it strongly disagreed with CMA's statements.   | Photo Credit: Reuters

Britain's competition regulator has fined Facebook 50.5 million pounds ($69.6 million) for breaching an order imposed during its investigation into the U.S. social media giant's purchase of GIF platform Giphy, the agency said on Wednesday.

(Sign up to our Technology newsletter, Today's Cache, for insights on emerging themes at the intersection of technology, business and policy. Click here to subscribe for free.)

The Competition and Markets Authority (CMA) said Facebook had deliberately failed to comply with its order, and the penalty served as a warning that no company was above the law.

Facebook said it strongly disagreed.

The CMA said Facebook had failed to provide full updates about its compliance with requirements to continue to compete with Giphy and not integrate its operations with Giphy's while its investigation was ongoing.

Facebook had refused to report all the required information, despite multiple warnings, the CAM said, and it therefore considered the failure to comply deliberate.

Also Read | Russia fines Facebook, Twitter for not deleting banned content

"We warned Facebook that its refusal to provide us with important information was a breach of the order but, even after losing its appeal in two separate courts, Facebook continued to disregard its legal obligations," said Joel Bamford, senior director of mergers at the CMA.

"This should serve as a warning to any company that thinks it is above the law."

Facebook said: "We strongly disagree with the CMA's unfair decision to punish Facebook for a best effort compliance approach, which the CMA itself ultimately approved.

"We will review the CMA's decision and consider our options." ($1 = 0.7258 pounds)


Our code of editorial values

Related Topics
  1. Comments will be moderated by The Hindu editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.

Printable version | Dec 3, 2021 5:12:25 PM | https://www.thehindu.com/sci-tech/technology/facebook-fined-70-mln-in-britain-for-breaching-order-in-giphy-deal/article37088077.ece

Next Story