EUs antitrust probe of Google-Fitbit gets more time
European antitrust regulators now have until almost the end of the year to take a decision on whether to green light Googles planned acquisition of Fitbit.
EU regulators were quick to sound the alarm about letting the tech giant go shopping for such a major cache of sensitive personal data, with the European Data Protection Board warned in February that the proposed purchase poses a huge risk to privacy.
There is also a parallel concern that Fitbits fitness data could further consolidate Googles regional dominance in the ad market.
And last month EU competition regulators announced a full antitrust probe saying then they would take a decision within 90 working days.
A Commission spokeswoman confirmed the earlier provisional December 9 deadline has been pushed on in agreement with the parties citing Article 10 of the EUs Merger Regulation.
When EU regulators announced the in-depth probe, the Commission said it was concerned data gathered by Fitbit could lead to a distortion of competition if Google was allowed to assimilate the wearable maker and further entrench its dominance in online ad markets.
Other concerns include the impact on the nascent digital healthcare sector, and whether Google might be incentivised to degrade the interoperability of rival wearables with its Android OS once it has its own hardware skin in the game.
The tech giant, meanwhile, has offered assurances around the deal in an attempt to get it cleared claiming ahead of the Commissions probe announcement it would not use Fitbit health data for ad targeting, and suggesting that it would create a data silo for Fitbit data to keep it separate from other data holdings.
However regulators have expressed scepticism with the Commission writing last month that the data silo commitment proposed by Google is insufficient to clearly dismiss the serious doubts identified at this stage as to the effects of the transaction.
It remains to be seen what the blocs competition regulators conclude after taking a longer and harder look at the deal and its worth noting they are simultaneously consulting on whether to give themselves new powers to be able to intervene faster to regulate digital markets but Googles hopes of friction-free regulatory clearance and being able to hit the ground running in 2020 with Fitbits data in its pocket have certainly not come to pass.
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