The Federal Trade Commission is investigating Amazon’s $ 1.7 billion acquisition of iRobot, the latest deal being scrutinized by regulators amid growing concerns about the company’s market power.
In a regulatory filing Tuesday, iRobot said that both it and Amazon received a request for further information in connection with an FTC review of the merger. Earlier this month, securities regulators filed a similar request to Amazon and One Medical, the primary healthcare company the e-commerce giant plans to buy for $ 3.9 billion. dollars.
Both Amazon and iRobot said they would cooperate with the FTC review, which delays the completion of a deal. Following an investigation, the agency can challenge a merger in court, seek remedies, or do nothing, which allows the deal to be closed. The agency says it retains the right to contest a deal even after it is closed.
Shortly after the deal was announced in early August, groups calling for stricter antitrust regulations asked the FTC to block the merger, claiming it would favor Amazon’s dominance in the smart home market.
Privacy advocates also expressed concern that the Seattle-based company will suck more consumer information out of Roombas, iRobot’s popular vacuum cleaners that can remember house floor plans. They say this feature allows Amazon to target consumers more with ads. Amazon said it won’t.
iRobot did not immediately respond to a request for comment. Amazon declined to comment.
© Copyright 2022 Associated Press. All rights reserved. This material may not be published, transmitted, rewritten or redistributed without permission.