This has no more repercussions for "American tech" than any other US company that has a business and tax presence in the EU. The EU has previously ordered Microsoft to sell Windows without Windows Media Player in EU markets. Yet Facebook still saw fit to open an office there.
There's a difference between a build tweak for another market, and a non-US country reaching into the US and blocking an acquisition of one US company by another.
You seem surprised that UK law holds in the UK.
Then you've misunderstood.
Meta is operating in the UK. Just because it is an American company, they have a presence in the UK. The UK government is demanding they sell Giphy, they don't _HAVE_ to follow that demand, but they'll most likely be banned from operating in the UK, which to them is more valuable than keeping Giphy.
This is no different than a UK based company operating in the US and having the US tell them to sell a product they acquired similarly.
As a matter of fact, the US does this stuff all the time.
You and I are talking. There's no "only one" as though there's a crowd of people present. Try and imagine you're not at the head of a baying mob.
I said that forcing a separate product to be sold in a territory by the rulers of that territory is very different to the rulers of a territory forcing the undoing of a merger in a totally different territory.
If you disagree, and think they're the same, then say why. If you don't disagree, then say that. Either way, please stop making points that I'm not even necessarily disagreeing with, but aren't relevant to what I'm saying?
Has the US actually tried to block a corporate merger between two non-American companies before?
Then replace America which the country name of your choosing.
This is the UK making decision of how Meta must act with respect to non-UK citizens and in areas other than the UK.
I agree with your sentiment, but this seems like a good outcome.
Its been a long time since the country of origin of an internet service like these mattered practically to the end-user, so no, no over-reach in that regard at all.
It's really pretty easy to understand.
There is no way in which this is "terrible outreach", it's literally "you want to operate in our market? obey our rules."
Personally, I'm really tired of seeing good products get subsumed into these faceless conglomerates, watered down, then finally borg'd into some tiny feature in the corner of the main app. Plenty of good ideas get tossed in the bin by these companies because they don't make 7-figure revenues out of the gate instead of being allowed to make something that makes self-sustaining revenue as its own business.
If businesses are looking for a buyout, I'd appreciate some up-front notice that I'll have to look for another solution once their dream is attained instead of being slapped in the face with a "hey, we got bought, but we're sticking around!" to "uh, we lied, it's going away; you have a week to save any data, hope you're not on vacation" a few months later.
Your upfront notice is not paying for the service.
If you use it for free, the chances of buyout are high and you'll get this issue. Companies that don't need the buyout don't ever have this issue.
FWIW, I pay for the services I highly value (news sites, media, email, etc.), but other times there's just a gap of "free and mostly suitable" to "expensive and overkill" that's too hard to justify knowing that my contributions aren't going to prevent the first bucket from overloading the boat at some point and leaving "everyone" out to sea in the process.
I'd much rather see "sorry, we can't maintain the status quo into the future; we'll grandfather the early believers in at their current level (or some X% over their current usage up to whatever cap existed) and the free tier now has Y% fewer features so that we can continue to maintain what we do into the future" instead of "we sold out to Meta" leaving even paying customers holding the sadness that entails.
In fact, the US "reach" into overseas trading including banking and other business processes is much more intrusive than any EU or non-US business regulation of US companies.
Though I can’t recall any specific times where the US blocked the acquisition/merger between two European countries.
Great! As an American, I'm thrilled there are governments in the world that still place people & competition at a higher priority than Mark's wallet. My government has completely given up on the idea of anti-trust enforcement.
They could just as easy create regulations which are impossible for startups to follow that actually cement big tech into power unintentionally
If you want more enforcement, vote in government in your own country. At least we might be able to fix that later.
This has terrible repercussions for the American tech economy. Every big tech company would think twice before acquiring another company. What if years from now, EU rules that Adobe's acquisition of Figma was illegal and it should unwind it? Perhaps, this is one reason why Microsoft is choosing to home-grow clones of Notion[1] and Canva[2], instead of acquiring them. Maybe that's the path big tech would be forced to take from now on.
[1]: https://medium.com/geekculture/microsoft-loop-clones-notion-...
[2]: https://www.zdnet.com/article/microsoft-announces-canva-comp...