Facebook acquires GIPHY for a reported $400 million

Facebook to bring GIPHY into the Instagram team

Facebook recently announced its plans to acquire GIPHY, a massive library boasting billions of GIFs, but it didn’t confirm how much it would pay for the acquisition.

However, Axios now reports the social media giant will shell out about $400 million dollars for the company, which it plans to add to its Instagram team. 

According to Facebook, 50% of GIPHY’s traffic already comes from Facebook’s family of apps, and half of that traffic is from Instagram. By acquiring GIPHY and rolling it into photo-sharing service, Facebook will make it easier for its users to find and use the ideal GIFs and stickers in their Stories or when sending direct messages.

In its announcement, Facebook confirmed that GIPHY will continue to operate its library, including its global content collection. Facebook also plans to invest in GIPHY’s current tech and API partners to ensure its users retain their access. Those who use GIPHY will still be able to upload GIFs to the platform too.  

Vishal Shah, VP of product at Facebook, said of the acquisition: “GIFs and stickers give people meaningful and creative ways to express themselves. We see the positivity in how people use GIPHY in our products today, and we know that bringing the GIPHY team’s creativity and talent together with ours will only accelerate how people use visual communication to connect with each other.”

While this acquisition is exciting for Instagram users, it calls into question how this purchase will impact other platforms using its library. Apple, Snapchat, MailChimp, Signal and many more source GIFs from the GIPHY library. Many of these companies, Signal being one of them, have been steadfast in ensuring GIPHY can’t track its users’ data and have responded to Facebook’s acquisition of the company.

Now that GIPHY has found itself under the Facebook umbrella, who knows if the GIF library will begin to track and share additional user information with Facebook. If so, we could see companies ceasing their GIPHY use.

Regardless, acquiring GIPHY is a smart move for Facebook. In 2016, GIPHY carried a $600 million value, $200 million more than Facebook reportedly bought it for.

Featured Resources

Virtual desktops and apps for dummies

An easy guide to virtual desktop infrastructure, end-user computing, and more

Download now

The total economic impact of optimising and managing your hybrid multi-cloud

Cost savings and business benefits of accelerating the cloud journey

Download now

A buyer’s guide for cloud-based phone solutions

Finding the right phone system for your modern business

Download now

What’s next for the education sector?

A new learning experience

Download now

Recommended

Facebook bans Signal's crafty anti-tracking ad campaign
data protection

Facebook bans Signal's crafty anti-tracking ad campaign

5 May 2021
Facebook Workplace hits 7 million paid subscribers
business communications

Facebook Workplace hits 7 million paid subscribers

5 May 2021
Facebook achieves its goal of 100% green energy
social media

Facebook achieves its goal of 100% green energy

15 Apr 2021
Facebook and Google plan new undersea cable to Asia
Network & Internet

Facebook and Google plan new undersea cable to Asia

30 Mar 2021

Most Popular

KPMG offers staff 'four-day fortnight' in hybrid work plans
flexible working

KPMG offers staff 'four-day fortnight' in hybrid work plans

6 May 2021
Hackers use open source Microsoft dev platform to deliver trojans
Security

Hackers use open source Microsoft dev platform to deliver trojans

14 May 2021
How to move Windows 10 from your old hard drive to SSD
operating systems

How to move Windows 10 from your old hard drive to SSD

30 Apr 2021