[ad_1]
Google’s parent company, Alphabet, is reportedly considering buying marketing software company HubSpot. While many experts believe the deal wouldn’t stifle competition, it’s likely to face opposition from regulators. According to an inalysis by news agency Reuters quoting industry analysts and antitrust experts, Alphabet’s contemplated acquisition of HubSpot would likely spark opposition from regulators and may require the technology giant to open a new front in its battle with antitrust watchdogs.
The analysts interviewed by Reuters downplayed the competition concerns. They pointed out that HubSpot operates in the customer relationship management (CRM) software sector, a crowded market with major players like Salesforce and Adobe. Google doesn’t currently compete in CRM, and the acquisition could strengthen HubSpot by giving it access to Google’s cloud resources, potentially leading to better offerings and prices for customers.
Regulatory Scrutiny Likely
Despite the lack of competition concerns, experts believe regulators in the US and Europe will likely challenge the deal. Google already faces multiple antitrust lawsuits, including accusations of abusing its dominance in search and online advertising. European regulators are also keeping a close eye on tech giants under the new Digital Markets Act.
History of Big Tech Deals and Scrutiny
The intense antitrust scrutiny has discouraged big tech acquisitions. Microsoft’s recent purchase of Activision Blizzard required concessions to get past regulators, and Adobe abandoned its acquisition of Figma due to anticipated antitrust hurdles. Google itself hasn’t made any major acquisitions in recent years, focusing on smaller deals in the advertising space.
Google’s Motivation for the Deal
Google’s large cash pile of $110 billion and the need to generate better returns on its investments are reportedly driving its interest in a big deal. While Google invests heavily in AI, its shareholder returns haven’t kept pace with competitors like Microsoft and Meta.
Antitrust Concerns Despite Lack of Direct Competition
Antitrust professor William Kovacic believes Google’s dominance in search could taint the deal in regulators’ eyes, even in areas where it doesn’t directly compete, like CRM software. He argues that blocking mergers that could strengthen a weaker competitor could stifle potential rivalry in the market.
The analysts interviewed by Reuters downplayed the competition concerns. They pointed out that HubSpot operates in the customer relationship management (CRM) software sector, a crowded market with major players like Salesforce and Adobe. Google doesn’t currently compete in CRM, and the acquisition could strengthen HubSpot by giving it access to Google’s cloud resources, potentially leading to better offerings and prices for customers.
Regulatory Scrutiny Likely
Despite the lack of competition concerns, experts believe regulators in the US and Europe will likely challenge the deal. Google already faces multiple antitrust lawsuits, including accusations of abusing its dominance in search and online advertising. European regulators are also keeping a close eye on tech giants under the new Digital Markets Act.
History of Big Tech Deals and Scrutiny
The intense antitrust scrutiny has discouraged big tech acquisitions. Microsoft’s recent purchase of Activision Blizzard required concessions to get past regulators, and Adobe abandoned its acquisition of Figma due to anticipated antitrust hurdles. Google itself hasn’t made any major acquisitions in recent years, focusing on smaller deals in the advertising space.
Google’s Motivation for the Deal
Google’s large cash pile of $110 billion and the need to generate better returns on its investments are reportedly driving its interest in a big deal. While Google invests heavily in AI, its shareholder returns haven’t kept pace with competitors like Microsoft and Meta.
Antitrust Concerns Despite Lack of Direct Competition
Expand
[ad_2]
Source link
I wanted to thank you for this wonderful read!! I definitely loved every bit
of it. I have you book-marked to check out new stuff you post…
Excellent post. I was checking constantly this blog
and I am impressed! Extremely useful info specially the
last part đŸ™‚ I care for such info much. I was looking for this particular information for a very long time.
Thank you and best of luck.
We’re a group of volunteers and opening a new scheme in our community.
Your website provided us with valuable info to work on. You have done a formidable
job and our entire community will be thankful to you.
Hello Dear, are you in fact visiting this web
page regularly, if so after that you will definitely obtain pleasant
experience.
Hi my family member! I wish to say that this article
is amazing, great written and come with almost all significant
infos. I would like to see extra posts like
this .
Generally I don’t read post on blogs, but I wish to
say that this write-up very compelled me to check out and
do so! Your writing taste has been amazed me.
Thank you, quite nice article.
I like reading through a post that can make men and women think.
Also, thanks for permitting me to comment!
Wonderful blog! I found it while searching on Yahoo News.
Do you have any tips on how to get listed in Yahoo News?
I’ve been trying for a while but I never seem to get there!
Cheers
What’s up friends, how is everything, and what you wish for to say on the topic of this article, in my view
its in fact remarkable in support of me.
What’s up friends, its enormous post regarding cultureand completely defined, keep
it up all the time.
This information is priceless. Where can I find out more?
I really like your blog.. very nice colors & theme.
Did you design this website yourself or did you hire someone to do it for you?
Plz respond as I’m looking to design my
own blog and would like to find out where u
got this from. many thanks
In fact when someone doesn’t be aware of after
that its up to other viewers that they will help, so here it takes
place.
I visited several blogs but the audio quality for audio songs present at this site is really fabulous.
I really like what you guys tend to be up too. This type of clever work and reporting!
Keep up the fantastic works guys I’ve added you guys to my personal blogroll.
If some one wants to be updated with most up-to-date technologies
afterward he must be visit this website and be up to date daily.
Very good website you have here but I was wondering if you
knew of any user discussion forums that cover the same topics talked about here?
I’d really love to be a part of community where I can get suggestions from other knowledgeable individuals that share the
same interest. If you have any suggestions, please let
me know. Cheers!
Hi there! Do you use Twitter? I’d like to follow you if that would be
okay. I’m absolutely enjoying your blog and look forward to
new posts.
Have you ever thought about including a little bit more than just your articles?
I mean, what you say is important and all. However just imagine if you
added some great pictures or video clips to give your
posts more, “pop”! Your content is excellent but with images and videos, this
site could certainly be one of the greatest in its niche.
Superb blog!
Hi to every , because I am truly keen of reading this web site’s post to be updated regularly.
It includes nice information.
I like the helpful info you provide in your articles.
I’ll bookmark your blog and check again here regularly. I’m
quite certain I will learn plenty of new stuff right here!
Best of luck for the next!
Howdy! This article could not be written any better!
Reading through this post reminds me of my previous
roommate! He constantly kept preaching about this. I will send this post to him.
Pretty sure he’ll have a very good read. I appreciate you for sharing!
I know this if off topic but I’m looking into starting my
own blog and was wondering what all is required to get setup?
I’m assuming having a blog like yours would cost a pretty
penny? I’m not very web savvy so I’m not 100% certain. Any recommendations or advice would be greatly appreciated.
Kudos
Hello to every one, it’s truly a good for me to pay a quick visit this web site, it includes valuable Information.
Do you mind if I quote a couple of your posts as long as I provide credit
and sources back to your blog? My blog site is in the exact same niche
as yours and my users would really benefit from some of the information you
present here. Please let me know if this okay with you.
Regards!
Yes! Finally someone writes about naga169.
Very great post. I just stumbled upon your weblog and wanted to say that I’ve really enjoyed surfing around your weblog posts.
In any case I will be subscribing in your rss feed and I’m hoping
you write again very soon!
Excellent post. I will be going through many of these issues as well..
you’re really a good webmaster. The website loading pace is amazing.
It sort of feels that you’re doing any distinctive trick. In addition,
The contents are masterwork. you have performed a excellent task on this subject!
Hi there would you mind sharing which blog platform you’re working with?
I’m going to start my own blog soon but I’m having a tough time deciding between BlogEngine/Wordpress/B2evolution and Drupal.
The reason I ask is because your design seems different then most
blogs and I’m looking for something completely unique.
P.S Apologies for being off-topic but I had to ask!
It’s the best time to make some plans for the future and
it’s time to be happy. I’ve read this post and if I could I wish to suggest you few interesting things or suggestions.
Maybe you could write next articles referring to
this article. I want to read even more things about it!
An outstanding share! I have just forwarded this onto
a friend who was doing a little homework on this.
And he actually ordered me dinner due to the fact that I found it
for him… lol. So allow me to reword this….
Thank YOU for the meal!! But yeah, thanks for spending some time to talk about this matter here on your blog.
I was recommended this web site by my cousin. I am
not sure whether this post is written by him as no one else know such detailed about my trouble.
You are wonderful! Thanks!