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chromas writes:

Consumer groups urge scrutiny of Google's Fitbit buyout in letter to antitrust regulators:

A group of 20 consumer organizations on Wednesday evening said it's sending a letter to antitrust regulators around the world, highlighting concerns over Google's proposed acquisition of the fitness tracker pioneer Fitbit.

Google last year announced the $2.1 billion deal with Fitbit as an attempt to bolster its business in wearable technology, like smartwatches and other devices.

[...] The letter calls Google's buyout of Fitbit a "test case" for big tech acquisitions, as Silicon Valley companies expand in part by obtaining data from competitors.

"Google could exploit Fitbit's exceptionally valuable health and location datasets, and data collection capabilities, to strengthen its already dominant position in digital markets such as online advertising," the letter reads. "Google could also use Fitbit's data to establish a commanding position in digital and related health markets, depriving competitors of the ability to compete effectively. This would reduce consumer welfare (including degrading data privacy options), limit innovation and raise prices."

Original Submission