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Apple's Shazam takeover triggers competition review in Europe

Apple's Shazam takeover triggers competition review in Europe
From TechCrunch - February 6, 2018

The European Commission has announceda review of Apples acquisition of music discovery service Shazamagreeing to a request made by several countries to weigh competition concerns.

Apple officially announced it was buying UK tech veteran Shazam back in December. It did not disclose the price-tag for the deal but sources suggest its paying in the region of $400 million.

At the time it described its Apple Music streaming service and Shazams music discovery offeringaka an algorithmic music recognition engine that can ID whole tracks just by listening to a few secondsas a natural fit, adding: We have exciting plans in store, and we look forward to combining with Shazam upon approval of todays agreement.

In a press release today the Commission saidit had accepted a request byseven European countries to assess the proposed acquisitionwhich it says may threaten to adversely affect competition in the EEA (European Economic Area).

A provision in EU law allows Member States to submit a request to the executive body to examine a merger that does not have an EU dimensionon account of it not meeting the turnover thresholds set by the EU Merger Regulationbut which nonetheless affects trade within the EU Single Market and threatens to significantly affect competition within the territory of the countries making the request.

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