The U.S. Federal Trade Commission has responded to the demands of human rights activists to block Amazon's purchase of robot vacuum cleaner manufacturer iRobot.
Here's What We Know
The $1.7 billion deal became known at the end of the summer of this year. However, advocates believe that the iRobot takeover could be a threat to consumers. The U.S. Federal Trade Commission has received a number of letters of concern that the purchase of robot vacuum cleaner maker Roomba will strengthen Amazon's monopoly in the "digital economy."
In particular, Amazon could sell vacuum cleaners at a loss or offer customers subscriptions to Amazon Prime to win the market. This would create an uneven playing field and be a threat to other players in this market segment. In addition, the U.S. giant could thus gain access to its customers' home layouts, which would also gain a significant edge against competitors.
As a result, the Antitrust Service will conduct an additional review of the iRobot takeover deal. Amazon has not yet commented on the matter.