The European Union’s antitrust regulators have paused their investigation into Universal Music Group’s proposed $775 million acquisition of Downtown Music. The review, launched over concerns the deal could stifle competition and eliminate a key rival, was temporarily halted on Sept. 2 as the European Commission waits for additional information from UMG.
Under EU rules, merger probes can be suspended if companies fail to provide requested data on time. The Commission’s original decision deadline of Dec. 10 will now be reset once the review resumes.
Critics have voiced strong opposition. “This is another land grab,” said Helen Smith, executive chair of IMPALA, who urged regulators to block the deal and curb UMG’s market dominance. She argued the company’s growing share “seriously reduces independent routes to market.”
Similar warnings came from the Independent Music Publishers International Forum (IMPF) and London’s Association of Independent Music (AIM), who said the deal reflects a “continuing trend towards over-consolidation” in the music industry.