Amazon has been given permission by the Competition and Markets Authority (CMA) to purchase robot vacuum manufacturer iRobot Corporation.
US-based iRobot develops consumer robots, including robot vacuum cleaners sold under the ‘Roomba’ brand.
The online retailer announced the $1.7 billion purchase of iRobot last August, which said it would boost its portfolio of smart home devices.
The CMA’s investigation concluded that it would not lead to competition concerns in the UK as iRobot has a “modest” position in the market and already has rivals.
The CMA said the iRobot acquisition would not disadvantage Amazon’s rival smart home platforms and that the company could not use its position as a large retailer to disadvantage rival robot vacuum cleaners.
The CMA’s decision only applies to the UK and the deal is still being looked at in other countries. The European Commission will make a decision on the acquisition by 6 July.
“More people are choosing to use ‘smart’ tech in their homes – whether that’s listening to the radio through a smart speaker, answering the door using a video doorbell, or keeping floors clean with robot vacuum cleaners,” said Colin Raftery, senior director of mergers at the CMA. “That’s why it’s important to ensure tech firms that already benefit from powerful positions aren’t able to use those positions to undermine competitors at the expense of UK consumers and businesses.”
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