The European Commission is to review Apple’s acquisition of music recognition service Shazam amid concerns the deal could “adversely affect competition” in Europe.
Austria, France, Iceland, Italy, Norway, Spain and Sweden submitted requests for the deal to be investigated on the grounds of competition rules, the commission revealed.
Apple revealed in December that it would buy Shazam for a reported $400m, lower than the “turnover threshold” for the EC. But the deal meets the notification threshold in Austria.
“On the basis of the elements submitted by Austria and the countries joining the referral request, and without prejudice to the outcome of its full investigation, the Commission considers that the transaction may have a significant adverse effect on competition in the European Economic Area,” the commission said in a statement.
Shazam leads the market in track recognition, but faces competition from SoundHound and Google, which offers a similar service on Android smartphones.