Giphy said young users think gifs are "for boomers", "cringe", and "out of fashion".
It said it has seen a decline in popularity and that only Meta would buy the company.
Giphy company also claimed it had "no meaningful revenue-generating business" and that it would go hand-in-hand with a buyer with its own user base that can monetize gif's.
It then ordered Meta to sell the company in November 2021 because a merger would reduce competition between social media platforms.
The decision is being appealed by Giphy, which insists that only Meta would acquire the company in order for the deal to go ahead.