San Francisco: E-Commerce Giant Amazon Facing great scrutiny by US Federal Trade Commission In its latest proposed acquisition of a robot vacuum maker iRobot and 1 life Health carewhich operates primary care provider One Medical.
Amazon announced the proposed acquisition of One Medical for $3.9 billion in July and iRobot for $1.7 billion in August.
According to a Politico report, the FTC has officially launched a review of Amazon’s takeover of iRobot over antitrust concerns.
“The next step will be to formally launch an in-depth investigation into the iRobot deal, which the people said is expected to lead to detailed questions from agency officials,” the report mentioned.
The FTC is concerned that data generated about a customer’s home by iRobot’s Roomba vacuum would give Amazon an unfair advantage over market players.
“For example, Amazon could benefit with a customer looking to buy a couch by using detailed home maps generated by iRobot to suggest specific items,” the report said.
1Life Healthcare also said the FTC has opened an in-depth review of its takeover by Amazon.
Amazon has not commented on the FTC investigations.
After the acquisition, iRobot laid off 10 percent of its workforce of about 140 workers.
The company said it is in the process of “restructuring its operations” to better align its cost structure with near-term revenues.
Amazon’s proposed acquisitions of One Medical and iRobot come after it bought movie studio MGM for $8.45 billion.
One Medical combines personalized care in inviting offices with digital health and virtual care services across the country, making it easy for patients to schedule appointments, renew prescriptions, access up-to-date health records and predict health outcomes.
