EU resistance forces Amazon and iRobot to quit their deal

EU resistance forces Amazon and iRobot to quit their deal

EU resistance forces Amazon and iRobot to quit their deal

According to Amazon, there is no way for its planned $1.4 billion purchase of iRobot to get regulatory clearance in the European Union.

Robot vacuum manufacturer iRobot and online retailer Amazon said on Monday that they would give up on their plans to combine in response to criticism from EU antitrust regulators.

The proposed merger between robot vacuum manufacturer iRobot and Amazon has been called off by European Union antitrust authorities, the companies said on Monday.

According to Amazon, there is no way for its planned $1.4 billion purchase of iRobot to get regulatory clearance in the European Union. Earlier this month, Reuters revealed that antitrust officials at the European Commission would reject the transaction, with their primary fear being that Amazon will sabotage iRobot competitors in its online marketplace, namely in France, Germany, Italy, and Spain. able to.

August 2022 saw Amazon announce the agreement. The biggest online retailer in the world, which also owns Ring and Alexa, was aiming to increase the number of smart home products it offers in addition to the virtual healthcare service it provides.

Opponents of the agreement said it would consolidate Amazon.com's already dominant market share in smart home appliances.