According to Politico on Friday, which cited sources familiar with the situation, the US Federal Trade Commission has started an investigation into Amazon.com’s US$1.7 billion (A$2.5 billion) acquisition of robot vacuum manufacturer iRobot Corp. to see whether the deal breaches antitrust law.
The source added that the iRobot examination by the US anti-trust panel will cover a wide range of topics, including head-to-head competition and whether the agreement would improperly increase Amazon’s market share in the connected device sector and the retail industry at large.
iRobot and the FTC did not immediately respond to a request for comment from Reuters, while Amazon declined to do so.
With more speakers exhibiting its Alexa voice assistant and with Ring’s home security doorbells and cameras, which it purchased in 2018, the e-commerce behemoth has progressively increased the range of products it offers.
The acquisition of iRobot, the company that makes the robotic vacuum cleaner Roomba, by Amazon was announced in August.
The biggest online retailer in the world is aiming to increase the number of smart home products it offers, as well as to improve its virtual healthcare services and introduce physical doctor’s offices.
The online retailer and primary care provider One Medical reached a purchase agreement in July.
One Medical announced on Friday that the US anti-trust agency has requested more information from both the company and Amazon about the US$3.49 billion acquisition of the primary care provider by the online retailer.
