(Reuters) — Alphabet unit Google’s bid to tackle Apple and Samsung within the wearable expertise market by shopping for Fitbit hit a hurdle on Tuesday as EU antitrust regulators launched an investigation into the $2.1 billion deal.
The transfer by the European Commission on Tuesday got here regardless of Google’s pledge final month to not use the health tracker’s knowledge for promoting functions in a bid to deal with competitors issues.
The EU antitrust enforcer mentioned the deal would additional entrench Google’s dominance in internet advertising and that Google’s knowledge pledge was inadequate to allay its worries.
“The data collected via wrist-worn wearable devices appears, at this stage of the Commission’s review of the transaction, to be an important advantage in the online advertising markets,” the Commission mentioned.
It mentioned the deal would give Google an information benefit in personalizing adverts by way of its search engine and shows on web pages, making it tough for rivals to compete, and in the end end in greater costs for advertisers and publishers.
The Commission will determine by Dec. 9 whether or not to clear or block the deal.