/cdn.vox-cdn.com/uploads/chorus_asset/file/23935560/acastro_STK103__03.jpg?w=1200&resize=1200,628&ssl=1 "Amazon’s .7 billion deal to buy iRobot is running into some objections")
European Union regulators have sent a statement of objections to Amazon about the company’s proposed $1.7 billion acquisition of Roomba maker iRobot. In a press release, the European Commission says that it “has informed Amazon of its preliminary view that its proposed acquisition of iRobot may restrict competition in the market for robot vacuum cleaners.”
The European Commission’s statement of objections comes as somewhat of a surprise, as Reuters reported last week that the deal was set to win unconditional approval.
In its statement of objections, the European Commission also says that Amazon may have the “ability and the incentive to foreclose iRobot’s rivals” by doing things like delisting rival robot vacuum cleaners or reducing their visibility on the Amazon marketplace. Amazon can now reply to the statement of objections and request an oral hearing. The Commission will make a final decision about the deal by February 14th, 2024.
“We continue to work through the process with the European Commission and are focused on addressing its questions and any identified concerns at this stage,” Amazon spokesperson Alexandra Miller says in a statement to The Verge. “iRobot, which faces intense competition from other vacuum cleaner suppliers, offers practical and inventive products. We believe Amazon can offer a company like iRobot the resources to accelerate innovation and invest in critical features while lowering prices for consumers.”
