Amazon’s iRobot acquisition on course for approval by February

Image for article titled Amazon's iRobot takeover on course for approval by February

picture, Justin Sullivan ,getty images,

EU antitrust regulators have set a February 14 deadline to approve Amazon’s $1.4 billion purchase of iRobot, the maker of Roomba, according to a report. reuters monday. The extended deadline gives the European Commission two more months to approve the deal, which Amazon has lowered my bid For between regulatory delays after Investigation Was on hold waiting for missing information from companies.

As of 2020, iRobot had the largest market share in the robot vacuum cleaner (RVC) sector worldwide. Statista, US Democrats, led by Elizabeth Warren (D-MA), said the deal was anti-competitive should be rejected In a letter to the Federal Trade Commission. Regulators fear deal will hurt Roomba’s maker unfair advantage Compared to other RVCs, as well as strengthening Amazon’s position as an online marketplace provider. The EU’s previous deadline to approve the agreement was December 13.

Two dozen human rights groups asked the FTC to do so Stop Amazon’s Acquisition The purchase of a “competing smart home device business” is anti-competitive, and will harm the overall consumer technology market, iRobot said in a letter. The group letter also cites consumer data that could be sucked up by Roomba, which takes video footage of customer homes to map out floor plans while vacuuming. Amazon currently owns approx. one third of American householdsAnd the extension has been flagged by these groups as a violation of user privacy.

Amazon says it is “working closely with the relevant regulators in their review of the merger.” Amazon also told Gizmodo that it has no plans to use iRobot’s technology in its own factories.

Amazon is currently facing an FTC lawsuit alleging illegal monopoly of the e-commerce sector, but not specifically in relation to the iRobot deal. “We are bringing this case because Amazon’s illegal conduct has stifled competition across a large segment of the online economy,” John Newman, deputy director of the FTC’s Competition Bureau, said when the lawsuit was filed last month.


Leave a comment