Morgan Reed, president of ACT | The App Association, statement on reports that competition officials from the European Commission (EC) intend to block Amazon’s acquisition of startup iRobot:
“Restrictions on companies being acquired dim opportunities for our members. This possible limitation becomes a barrier to exit, and for our members, a barrier to acquisition equates to a barrier to entry.
“Our members look to acquisitions as a key part of building their future. The EC’s decision does nothing to help small companies for whom joining another company is a way to grow the product they have poured their lives into, or to give back to the families that have taken risks and supported them for years.
“A barrier to exit is a barrier to entry. If entrepreneurs, like our members, in the EU or anywhere else across the world can’t get acquired, they have a much harder time getting funding in the first place.”