The UK's Competition and Markets Authority has placed limitations on Deliveroo's links with Amazon after raising concerns about a reduction of customer choice in the food-delivery market. Deliveroo can operate in the UK as a separate company and must not be absorbed by the e-commerce brand, it said. The watchdog's decision followed the online retail giant's participation in a $575 millionm funding round earlier this year, which made it Deliveroo's biggest backer. Amazon closed its UK-based food delivery business last year due to competition from Deliveroo.
The UK's Competition and Markets Authority has placed limitations on Deliveroo's links with Amazon after raising concerns about a reduction of customer choice in the food-delivery market. Deliveroo can operate in the UK as a separate company and must not be absorbed by the e-commerce brand, it said. The watchdog's decision followed the online retail giant's participation in a $575m funding round earlier this year, which made it Deliveroo's biggest backer. Amazon closed its UK-based food delivery business last year due to competition from Deliveroo.