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Re:Facebook to Buy Giphy for $400M by dumbfounder on Friday May 15, 2020 @10:48AM (#23192808)
Congrats to Giphy, but honestly it baffles me they are worth this much money. Do they actually bring in decent revenue, or was this all about eyeballs? Is this content even decently monetizable?

Disclaimer: I am the jaded creator of Twicsy, a Twitter picture engine with many millions of visitors over its lifetime, and I apparently missed the boat on this trends and had to shut it down.

Re:Facebook to Buy Giphy for $400M by cosmie on Friday May 15, 2020 @11:19AM (#23193168)
Read the privacy policy[1].

Think of Giphy images as a giant, organically shared version of web tracking software. Which complements the coverage of the FB Pixel[2] well, as it worms its way into privacy-conscious areas they might not have FB Pixel coverage such as private communications and security/privacy-minded apps. And without implementing something like a proxy server to pre-cache/sanitize images and strip tracking identifiers in both directions, it's a tracking vector that's hard to keep out of your app without introducing user friction.

Given that cynical viewpoint, the valuation makes a ton of sense.

[1] https://support.giphy.com/hc/en-us/articles/360032872931-GIP...

[2] https://www.facebook.com/business/help/742478679120153?id=12...

Re:Facebook to Buy Giphy for $400M by Thorentis on Friday May 15, 2020 @07:49PM (#23198896)
Woah, that's a great point. Imagine sharing a gif in Signal and still being tracked by Facebook because every person that loads it needs to first download it from FB servers.

It really is getting to the point that if you want privacy, don't touch anything owned by the top 5 tech companies. Better yet, only use Open Source. I never used to be a OSS only person, but the past few months I've started to go that way.

Re:Facebook to Buy Giphy for $400M by firloop on Friday May 15, 2020 @08:04PM (#23199004)
>Imagine sharing a gif in Signal and still being tracked by Facebook because every person that loads it needs to first download it from FB servers.

Signal's integration is specifically engineered to _not_ do this: https://signal.org/blog/signal-and-giphy-update/

Re:Facebook to Buy Giphy for $400M by dingaling on Saturday May 16, 2020 @03:45AM (#23201293)
From Giphy's end they can still so useful traffic analysis by generating a unique URL for the search result obtained by User A and subsequently sent to his chat cohort. Each cohort app retrieving the same URL could then be enumerated. It's not user-identifying but it would generate a sort of contact graph.

Also the Signal service could do a transparent TLS MitM between the app and Giphy instead of a passthrough TLS tunnel and the user apps would be unaware. In fact from that page I'm not sure they're even doing a tunnel anyway.

Re:Facebook to Buy Giphy for $400M by ccktlmazeltov on Friday May 15, 2020 @09:24PM (#23199570)
nice try, but this wouldn't work
Re:Facebook to Buy Giphy for $400M by calmworm on Friday May 15, 2020 @12:17PM (#23193890)
> Given that cynical viewpoint

I wouldn't even call that cynical. It's just the state of things.

Re:Facebook to Buy Giphy for $400M by tantalor on Friday May 15, 2020 @12:51PM (#23194330)
It absolutely is cynical. Just another "If you're not paying for it, you're not the customer; you're the product being sold."
Re:Facebook to Buy Giphy for $400M by Drakim on Friday May 15, 2020 @01:47PM (#23195045)
While you aren't wrong, in this day and age it's not enough to simply pay. Even if you pay for something, you are still the product being sold. Why would a company leave money on the table, when violating people's privacy is profitable and there is no backlash?
Re:Facebook to Buy Giphy for $400M by justapassenger on Friday May 15, 2020 @05:34PM (#23197746)
It's not this day and age. Analytics and data mining of customers data is as old as business. 2000 years ago merchants were also tracking who's buying what, in what city, what time of the year, etc.

It's waaaaay more efficient nowadays and way more creepy, but it's not a new invention.

Re:Facebook to Buy Giphy for $400M by Aeolun on Friday May 15, 2020 @05:10PM (#23197454)
Ethics?
Re:Facebook to Buy Giphy for $400M by chispamed on Friday May 15, 2020 @05:30PM (#23197707)
In a society which doesn't care enough and a legal system that doesn't punish unethical behaviour any company tapping unethical revenue streams in addition to the ethical ones will have a competitive advantage and given otherwise similar conditions eventually outperform ethical companies. Once a sole actor goes down that path it puts a lot of pressure on all other actors to throw ethics overboard as well as otherwise their company's survival and in extension their livelihood will be threatened. This is why we can't just rely on market forces sorting everything out, consumers making decision, etc. but have to actively legislate to protect our privacy and personal rights.
Re:Facebook to Buy Giphy for $400M by calmworm on Friday May 15, 2020 @01:30PM (#23194838)
What you're describing with that quote isn't cynicism. Especially as far as FB is concerned. That is absolutely business as usual for them and has been for years.
Re:Facebook to Buy Giphy for $400M by kelnos on Friday May 15, 2020 @04:53PM (#23197258)
"Cynical" usually implies an element of assuming the worst when such an assumption is far from certain. In this case I think the assumption is spot-on and not at all surprising.
Re:Facebook to Buy Giphy for $400M by rexpop on Friday May 15, 2020 @02:02PM (#23195256)
Just because you've heard it before doesn't make it false. I hope your naivete represents a minority perspective.
Re:Facebook to Buy Giphy for $400M by cced on Friday May 15, 2020 @12:54PM (#23194371)
Does the fact that it is integrated into iOS keyboard have any implications? WlWhat kind of data does this have access to when I send gifs from iOS keyboard?
Re:Facebook to Buy Giphy for $400M by nullbyte on Friday May 15, 2020 @03:38PM (#23196452)
iOS keyboards given “full access” in settings can see literally everything you type. That’s why I don’t use GBoard on my iPhone, also why I don’t enable “enhanced spellcheck” in Chrome.
Re:Facebook to Buy Giphy for $400M by impalallama on Friday May 15, 2020 @04:13PM (#23196860)
Hmm, I guess I know why SwiftKey became free. Probably want to check on their privacy policy now
Re:Facebook to Buy Giphy for $400M by propogandist on Friday May 15, 2020 @10:31PM (#23199971)
swiftykey (now owned by MSFT) is terrible as it is constantly trying to call back to microsoft services, even with all "personalization" disabled. I've got my phone locked down with multiple "blocks" I can see it constantly trying to phone home.

It's behavior is no different from Windows 10 telemetry. The keyboard does not even work if you disable one of the underlying telemetry services in the app (if you have a rooted device).

Re:Facebook to Buy Giphy for $400M by degenerate on Friday May 15, 2020 @02:11PM (#23195381)
Google messenger (the default texting app) has a gif search that includes giphy, and Discord and slack also use giphy. What I don't see is what data FB is getting when the gif loads. OK, so they can see I am using giphy in Discord. Now what?

edit: apparently wrong/outdated information.

Re:Facebook to Buy Giphy for $400M by bndw on Friday May 15, 2020 @02:52PM (#23195880)
Hypothetically speaking, fb gets a request for an image for each person in a chat at roughly the same time. Now they know know what chat platform you're using and who is participating in the chat. I'd venture a guess those participant identities could be de-referenced with data collected from their various [other] trackers. Now they can extend their social graph to include communication patterns on 3rd party platforms.
Re:Facebook to Buy Giphy for $400M by ehsankia on Friday May 15, 2020 @02:42PM (#23195744)
I'm fairly sure this is False. GBoard uses Tenor (the next largest Giphy competitor), which Google also happens to have bought 2 years ago (undisclosed amount of money). I also just tested Messages and can confirm that the results look like Tenor too.

For Discord, while they initially used Giphy and has a /giphy command, it now uses Tenor too in the GIF picker.

Re:Facebook to Buy Giphy for $400M by judge2020 on Friday May 15, 2020 @10:25PM (#23199931)
The only difference with this acquisition and Discord is that Discord might now start proxying Giphy (they previously didn't to save bandwidth).
Re:Facebook to Buy Giphy for $400M by ehsankia on Saturday May 16, 2020 @06:12AM (#23202165)
Again, Discord uses Tenor, not Giphy (unless you manually use /giphy instead of the GIF picker, which most people don't).
Re:Facebook to Buy Giphy for $400M by cosmie on Friday May 15, 2020 @03:17PM (#23196215)
They can also see that you use Discord, as well as how often and how heavily. And potentially other facets that can be derived from whatever metadata is provided to Facebook in the course of serving that image request.

There's also all kinds of shenanigans that they can play in the process of serving that request to harvest other meta data and help fingerprint you. Which Giphy's privacy policy mentions is already done to an extent, in the form of dropping cookies while servicing your request. Cookie abuse itself is a bit of a losing battle, as browser vendors increasingly layer on limitations and restrictions for cookies. But they're far from the only method of fingerprinting possible during the servicing of a web request.

Re:Facebook to Buy Giphy for $400M by RandallBrown on Friday May 15, 2020 @05:13PM (#23197483)
Not sure if the iOS keyboard uses Giphy. I get very different results searching for the same things in the keyboard and on the Giphy website.
Re:Facebook to Buy Giphy for $400M by nerdponx on Friday May 15, 2020 @11:56AM (#23193668)
proxy server to pre-cache/sanitize images and strip tracking identifiers in both directions

Developing such a tool might be valuable for privacy-conscious application developers.

Re:Facebook to Buy Giphy for $400M by cosmie on Friday May 15, 2020 @12:24PM (#23193990)
Google already does it with Gmail[1][2], so it's not unheard of. But it adds another layer of complexity, plus is somewhat antithetical to the privacy viewpoint as it then exposes all of the images to the app developer now since it's routed through the proxy server instead of direct end-user -> image server requests.

[1] Can't find a page specifically detailing it, but [2] gives a basic synopsis on it in the context of allowing GSuite admins to whitelist internal domains from routing through the proxy.

[2] https://support.google.com/a/answer/3299041?hl=en

Re:Facebook to Buy Giphy for $400M by Jakob on Saturday May 16, 2020 @01:17AM (#23200701)
> it then exposes all of the images to the _app developer_

Not if the app developer proxies the encrypted traffic.

That way the app dev does not know the content and the third party does not know which original IP requested it.

This is akin to the Signal-Giphy implementation.

Re:Facebook to Buy Giphy for $400M by specialist on Friday May 15, 2020 @04:37PM (#23197109)
Keen analysis, thank you.

Paraphrasing: emojis serving as web bugs.

https://en.wikipedia.org/wiki/Web_beacon

Re:Facebook to Buy Giphy for $400M by tootie on Friday May 15, 2020 @02:19PM (#23195494)
I'm still dubious. Giphy hit it's peak of power 2-3 years ago and has plateaued or even tapered since then. It was all over reddit and Slack for a while and then the novelty wore off and competitors popped up.
Re:Facebook to Buy Giphy for $400M by djhaskin987 on Sunday May 17, 2020 @11:51PM (#23218130)
... which might be what made it cheap enough to be snapped up by Facebook. Who knows, maybe the valuation of giphy would have been much larger 2 to 3 years ago.

Acquisitions often happen after some value is lost from the company being acquired, like when Microsoft bought Nokia or when Yahoo bought Tumblr.

Re:Facebook to Buy Giphy for $400M by 83457 on Friday May 15, 2020 @02:21PM (#23195505)
Won't that tracking capability be going away pretty soon?
Re:Facebook to Buy Giphy for $400M by cosmie on Friday May 15, 2020 @03:25PM (#23196303)
Cookie-based tracking, sure. But there are plenty of other avenues for fingerprinting. This[1] help doc from Adobe Analytics even makes reference to a Subscriber ID header you can get mobile carriers to give you, if you get onto the carrier's whitelist. Nothing the vendors do device/browser-side to restrict tracking will help if your mobile carrier is transparently appending an identifying header to your request after it leaves your phone.

[1] https://docs.adobe.com/content/help/en/analytics/technotes/v...

Re:Facebook to Buy Giphy for $400M by deadso on Friday May 15, 2020 @04:28PM (#23197038)
This doesn't work for SSL enabled websites, right?
Re:Facebook to Buy Giphy for $400M by toast0 on Friday May 15, 2020 @09:36PM (#23199647)
I don't know enough about TLS < 1.3. In TLS 1.3, the whole handshake on both sides is covered by the handshake completion --- if the client handshake was modified in the middle, the client will not accept the server handshake completion.

However, that doesn't stop carriers from inserting something at the start of the stream that the client doesn't see. It would need to be coordinated with the origin server, but that's already true for HTTP header insertion. Sending a pre-handshake blob to a TLS server that isn't expecting such a blob would fail hard though, rather than going on its merry way like an extra header usually would.

Re:Facebook to Buy Giphy for $400M by cosmie on Friday May 15, 2020 @04:55PM (#23197278)
I'm really not certain, as I've never seen an implementation that involved it. There was a lot of stink about it 5 years ago[1], which called out the exact argument of it not working for HTTPS traffic. Which, is a substantially larger portion of traffic now than it was at the time.

But you still see nondescript references to the capability in places like that that up-to-date Adobe Analytics doc, and the carriers aren't trying to use legal means (a la lobbying) to slow down the uptick in HTTPS traffic and preserve their revenue stream. Which leads me to presume they've developed technical solutions that are compatible with HTTPS traffic. They can't really use the spray-and-pay method[2] they were using. But all bets are off when they destination site and the carriers are coordinating with each other, as that coordination can involve technical modifications to facilitate it in addition to just the whitelisting itself.

[1] https://www.ghacks.net/2015/08/31/are-mobile-carrier-injecte...

[2] Some carriers would inject a header into all traffic, and any interested party could slurp them up. But you'd have to pay the carrier to access any of the other information the carrier had for that particular identifier.

Re:Facebook to Buy Giphy for $400M by basch on Friday May 15, 2020 @11:02AM (#23192964)
The other interesting thing about this one, is that they dont even attempt to license content do they? They dont have any content costs?

Theres been this fake (steal) it till you make it, wild west approach to growth. Youtube, Buzzfeed, Imgur. You just host anybodys content regardless of if the poster is the owner, and once you get to scale, then you handle copyright and creating your own content so you arent as dependent on external creators.

But in Giphys case, they never have to take the extra step. Because they are so short, they are much more likely to pass fair use, and they can just host anybodys anything, barring some illegal fringes, without having to pay for the rights.

Re:Facebook to Buy Giphy for $400M by timfrietas on Friday May 15, 2020 @11:14AM (#23193084)
GIPHY has agreements with pretty much all the major content studios, including ones historically protective of their content, such as HBO, the NFL and Disney.
Re:Facebook to Buy Giphy for $400M by Nextgrid on Friday May 15, 2020 @11:18AM (#23193148)
I think the main problem is not movie studios (where fair use is likely to apply as we're talking about a 10-second GIF out of a 1h+ movie) but all the meme creators on Reddit and other social networks. I assume those make up the majority of GIFs out there and as of now they aren't being compensated or even credited properly.
Re:Facebook to Buy Giphy for $400M by Dangeranger on Friday May 15, 2020 @12:22PM (#23193956)
This is an unpopular opinion, but if the meme creator violated copyright when they made the meme, and they want credit for their “derived version” then they need a license.
Re:Facebook to Buy Giphy for $400M by Nextgrid on Friday May 15, 2020 @12:24PM (#23193993)
I disagree that they violated copyright. If they're using a screenshot or a short clip from a movie that is definitely fair use. On the other hand, what Giphy is doing is copying the entire meme.
Re:Facebook to Buy Giphy for $400M by millimeterman on Sunday May 17, 2020 @05:34PM (#23215685)
What? That's absolutely not guaranteed to be fair use. AFAIK there's no precedent for such things. And even if random people making memes is fair use, Giphy would still be violating the copyright of the original media by hosting nearly unedited clips for commercial reasons. The vast, vast, vast majority of memes are not transformative.
Re:Facebook to Buy Giphy for $400M by rhizome on Friday May 15, 2020 @01:13PM (#23194631)
What would be the infringement? I would say any animated GIF (or whatever) should be defined as fair use across the board, since it's impossible to use it for anything other than criticism or comment. It's not exactly like Beastie Boys vs. Chambers Bros, but it rhymes with it.
Re:Facebook to Buy Giphy for $400M by taejavu on Friday May 15, 2020 @04:16PM (#23196887)
Isn’t there a gif of the entire first Shrek movie?
Re:Facebook to Buy Giphy for $400M by saagarjha on Friday May 15, 2020 @05:16PM (#23197516)
Perhaps, but that's clearly not covered by fair use. Posting the entire Shrek movie as a GIF is not creating a "new meme".
Re:Facebook to Buy Giphy for $400M by fouc on Friday May 15, 2020 @07:32PM (#23198751)
a heavily accelerated 49px by 49px gif seems okay
Re:Facebook to Buy Giphy for $400M by mthoms on Friday May 15, 2020 @12:41PM (#23194201)
>GIPHY has agreements with pretty much all the major content studios, including ones historically protective of their content, such as HBO, the NFL and Disney.

Incredible. What a strange time we live in.

This makes me wonder, does Disney have any say if someone uploads a home-made Mickey gif that is controversial or otherwise damaging to their brand?

Re:Facebook to Buy Giphy for $400M by parineum on Friday May 15, 2020 @11:14AM (#23193083)
Facebook, Twitter and Google (YouTube) have used that strategy to ignore their obligations to filter their content by getting into some type of "too bug to fail" situation and throwing their hands up when they are asked to do their duty. Those products didn't fill a niche by innovating, they filled a niche by ignoring the obligations that were preventing others from filling the niche.
Re:Facebook to Buy Giphy for $400M by gundmc on Friday May 15, 2020 @01:36PM (#23194914)
> Facebook, Twitter and Google (YouTube) have used that strategy to ignore their obligations to filter their content by getting into some type of "too bug to fail" situation and throwing their hands up when they are asked to do their duty

I don't think this is quite fair to YouTube. They've spent hundreds of millions of dollars developing ContentID. It's not perfect, but it's without a doubt the most sophisticated system to date. It's a difficult problem, but I don't see how you can say they've "thrown up their hands".

Re:Facebook to Buy Giphy for $400M by pbhjpbhj on Friday May 15, 2020 @05:08PM (#23197431)
I thought the DMCA reporting system was basically made for Google (maybe by Google???) so they could have a middle-ground. They shift responsibility to content owners, through the law; then sell themselves as virtuous through ContentID and keep enough infringing content to not too deleteriously effect their platform -- collecting ad revenue even on content they allow that's infringing.

You can say what you like, but that's genius level politics-business IMO.

Re:Facebook to Buy Giphy for $400M by zarriak on Friday May 15, 2020 @08:33PM (#23199210)
no their problem is that the DMCA system sucks as it wasn't even written this century (1998), so they created ContentID as a response. They do benefit from the way the system exists currently because of this since the cost of developing a competitor to ContentID is so seemingly prohibitively expensive that nobody else tries to do what YouTube does.
Re:Facebook to Buy Giphy for $400M by brettz on Friday May 15, 2020 @10:23PM (#23199925)
They built it after they got huge and were sued by Viacom and others.
Re:Facebook to Buy Giphy for $400M by burrows on Friday May 15, 2020 @03:56PM (#23196685)
I own and operate a flea market. I sell stall usage to merchants who sell their goods at the flea market.

Am I responsible when stolen goods are sold from my stalls?

I own and operate an RV park. Someone is selling illegal drugs from one of the RVs.

Am I responsible for the illegal drug sales?

Re:Facebook to Buy Giphy for $400M by esmi on Friday May 15, 2020 @04:55PM (#23197273)
> Am I responsible for the illegal drug sales?

You might not be liable for the sale itself but, depending on the details, you could definitely still have serious legal risk.

https://www.nolo.com/legal-encyclopedia/criminal-acts-activi...

Re:Facebook to Buy Giphy for $400M by rhizome on Friday May 15, 2020 @01:03PM (#23194506)
"Behind every great fortune is a crime."
Re:Facebook to Buy Giphy for $400M by ikeyany on Friday May 15, 2020 @12:08PM (#23193788)
Investors reward asking for forgiveness, not permission. Just ask Uber.
Re:Facebook to Buy Giphy for $400M by giarc on Friday May 15, 2020 @01:29PM (#23194815)
I wonder if it's similar to music, where you can play a short piece without compensating the artist? Since most gifs are <5 seconds, it's not content stealing.
Re:Facebook to Buy Giphy for $400M by basch on Friday May 15, 2020 @02:02PM (#23195261)
it is still stealing[1].

fair use is an affirmative defense, where you say "yes i stole it, but the government should not protect the content owner from me," similar to "yes i injured them, but it was self defense and they do not deserve compensation."

[1]intellectual property violations are not theft in the strictest sense of the word, they don't remove the original. stealing in this context is colloquial.

Re:Facebook to Buy Giphy for $400M by saagarjha on Friday May 15, 2020 @05:21PM (#23197590)
Stealing is illegal, as is assault, and you are not convicted of assault in cases of self-defense. Similarly, calling fair use "government sanctioned stealing" is a bit of a stretch.
Re:Facebook to Buy Giphy for $400M by basch on Friday May 15, 2020 @05:48PM (#23197884)
That's exactly what it is. Fair use is a government granted exception to intellectual protectionism. The government is the one determining what counts as intellectual property violations, and what counts as exempt from punishment.

Without intellectual property law, you would be free to copy anything. The barrier to copying is the government. The free pass to flaunt their rule, when qualified, is also the government.

Re:Facebook to Buy Giphy for $400M by saagarjha on Friday May 15, 2020 @05:50PM (#23197912)
I fail to see how this situation differs from the distinction between assault and self-defense.
Re:Facebook to Buy Giphy for $400M by basch on Friday May 15, 2020 @06:18PM (#23198173)
assault and self defense were my analogy of something similar. im saying they are not different in kind. akin to self defense being government sanctioned murder.
Re:Facebook to Buy Giphy for $400M by vidro3 on Saturday May 16, 2020 @07:44PM (#23208153)
Giphy has dozens of people who are paid to create gifs
Re:Facebook to Buy Giphy for $400M by rosywoozlechan on Friday May 15, 2020 @12:50PM (#23194320)
I don't think fair use was meant to be something where you base your entire business around other people's content.
Re:Facebook to Buy Giphy for $400M by rhizome on Friday May 15, 2020 @01:16PM (#23194669)
Business models have been created upon flimsier foundations. Come on, capitalists: you've taught us for decades that if someone can make it work, it's above criticism. Are we now discovering moral constraints on profit?
Re:Facebook to Buy Giphy for $400M by waylandsmithers on Friday May 15, 2020 @11:17AM (#23193119)
Maybe this is a win for everyone then if content owners and creators are able to get paid as a result
Re:Facebook to Buy Giphy for $400M by snissn on Friday May 15, 2020 @10:50AM (#23192835)
They're integrated into a lot of apps and maybe even apple's OS. In addition to those integration and business relationships they probably have some sort of data sharing / ad tech thingy that's worth some money on its own.
Re:Facebook to Buy Giphy for $400M by kennxfl on Friday May 15, 2020 @10:53AM (#23192872)
Makes sense because Whatsapp is a client.
Re:Facebook to Buy Giphy for $400M by ogre_codes on Friday May 15, 2020 @11:01AM (#23192947)
I was surprised it it carried this kind of valuation too, but I think this is a matter of finding the right buyer. This isn't about revenue, it's another way for Facebook to harvest metrics, this time across competing products.
Re:Facebook to Buy Giphy for $400M by 101404 on Friday May 15, 2020 @12:26PM (#23194016)
It's all about collecting user data and usage data. Not about serving images.
Re:Facebook to Buy Giphy for $400M by trizzle21 on Friday May 15, 2020 @01:17PM (#23194687)
they do embed Ads into your gif searches... however, who knows what is happening to ad spend in these Covid times.