Amazon, if you recall, agreed topurchaseiRobot in the summer of 2022.
At the time, it would have been the company’s fourth largest acquisition.
But, what went wrong?
Regulatory hurdles, as Amazon said it did not see a path to regulatory approval in the European Union.
“Undue and disproportionate regulatory hurdles discourage entrepreneurs,” Zapolsky added, which hurts both consumers and competition.
The Wall Street Journal reported earlier this month that the EU’s competition watchdog planned toblock the merger.
In a meeting with company representatives, competition officials said the deal would likely be rejected.
Shares in iRobot are down nearly 10 percent on the news, their lowest in almost 15 years.
Amazon’s stock has held steady in early morning trading as of this writing.
Amazon will pay iRobot a previously agreed upon termination fee, reportedly in the ballpark of $94 million.
Image credit:Denny Muller
