The European Commission has approved, under the EU Merger Regulation, the proposed acquisition of Motorola ECC, the embedded computing division of US telecommunications company Motorola Inc. by Emerson Electric Co., also of the US. After examining the operation, the Commission concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.
Emerson Electric is a diversified global technology company. It designs and supplies technology and engineering services to a wide range of industrial, commercial and consumer markets around the world. Motorola ECC provides specialised computers which are built into and control large and complex pieces of equipment in a range of applications, such as telephone networks, medical scanners, industrial imaging systems, air traffic control and radar systems, flight simulators and semiconductor wafer processing machines.
The proposed acquisition would expand the merged company's range of embedded computing solutions. However, the Commission's investigation showed that this would not give rise to any competitive concerns given the limited increase in market shares and the significant number of viable competitors, as well as the ability of major customers to supply embedded computing solutions in-house. [20 November 2007]