Foxglove wants the U.K.’s competition watchdog to investigate Amazon’s proposed iRobot purchase, arguing — among other things — the deal lets the retail giant spy on its users.
The British nonprofit said in a news release Tuesday (Nov. 22) that it is calling on the U.K.’s Competition and Markets Authority (CMA) to probe — and block — the $1.7 billion deal for the company known for making the Roomba robotic vacuum cleaner.
Amazon, Foxglove said in the news release, isn’t “just buying a fun little automated hoover: their aim is to leapfrog into pole position in home robotics, and to shore up their bid to dominate the smart home. Roombas generate huge data on the layouts of people’s houses; later models come with a camera.”
Reached for comment by PYMNTS, an Amazon spokesperson said the company is “working cooperatively with the relevant regulators in their review of the merger.”
The spokesperson also directed PYMNTS to a company blog post explaining its privacy and transparency standards.
“We always strive to be clear about how Amazon is collecting, using, or sharing your personal data,” the post reads. “That’s why we not only build privacy directly into our products and services, but we also make it easy and intuitive for customers to learn more about how Amazon collects, uses, and shares their data.”
Foxglove was one of 11 non-governmental organizations (NGOs) that in September criticized Amazon’s proposal to stop some online sales and marketing practices to stave off big antitrust fines from European regulators. The group said Tuesday that Amazon’s purchase of iRobot follows a pattern of other acquisitions — the Ring doorbell and its Alexa assistant — that give the company an inside view of its customers’ homes.
“In short, this is a monopoly seeking to perpetuate itself and to increase its power to spy on all of us,” Foxglove said. “That’s why we’re asking the UK’s competition regulator to step in, investigate and potentially block the sale.”
Amazon’s purchase is being examined by the U.S. Federal Trade Commission, which in September began a review to determine whether the deal breaks antitrust law. The review is examining both head-to-head competition as well as whether the deal would improperly boost Amazon’s share in the connected device and general retail markets.
iRobot said in September it was cooperating with the FTC review after the commission asked for more information from both companies.
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