Jan 29, 2024

Amazon cancels iRobot vacuum deal after EU challenge

Amazon is scrapping its planned takeover of vacuum maker iRobot following opposition from EU competition authorities. Amazon said the outcome was an indication that regulatory decisions to block mergers in the name of increasing competition and protecting consumers from monopolies were backfiring. Amazon's pursuit of iRobot was intended to help it expand its range of smart-home appliance offerings. In the UK, the Competition and Markets Authority gave the deal the all-clear last year, finding that Roomba's place in the UK market was "Modest" and that it already faced several significant rivals. European competition authorities were worried that iRobot's tie-up with Amazon would make it difficult for other vacuum-makers to compete, especially if Amazon were to give the Roomba benefits over rivals on its e-commerce site.

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