The story
Coined by webloggers around the time of the July 2006 Israel–Hezbollah War in Lebanon in criticism of the manipulated images of the conflict published by journalistic outlets: blend of faux and photography; compare fauxtograph. (This term is attested prior to July 2006, chiefly in use for company names, without an established meaning, and probably coined independently.)
Etymology from Wiktionary, CC BY-SA 4.0.