Pressure is mounting on the FTC to block Amazon's proposed purchase of iRobot.
A group of Democratic lawmakers wrote a letter to the FTC saying that the proposed merger would unfairly bolster Amazon's dominance in the smart home market by acquiring one of its competitors. They criticized Amazon for its data privacy and security practices after acquisitions of companies like Ring.
Amazon is a potential entrant into the market due to its history of producing smart vacuums and its powerful platform.
The acquisition of iRobot by Amazon would cause a lot of competition.
The letter was led by Sen. Warren and four other House lawmakers.
In the last two years, antitrust enforcers in the US and EU have launched a number of investigations into Amazon. The FTC is looking into the company's plans to enter the healthcare market by purchasing One Medical. It is not known if the agency will review the Amazon purchase of MGM as of publication.
The Wall Street Journal reported that the FTC was looking at the proposed deal.
The FTC should use its authority to oppose the Amazon-iRobot transaction due to Amazon's history of anticompetitive mergers to increase their monopoly power.
Chair Khan rose to prominence due to her criticism of Amazon's market power. The federal government may need to pass new antitrust statutes in order to address the market dominance of online tech platforms like Amazon, according to a legal paper published by Khan last year.
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