Of their letter, the lawmakers mentioned the deal would give Uber and Grubhub 48 p.c of the U.S. market, whereas Doordash would have 42 p.c. A merged Uber Eats and Grubhub would have 79 p.c of the market in New York, 68 p.c in Boston, 65 p.c in Miami, 60 p.c in Chicago and 51 p.c in Atlanta.
“We’ve been listening to concerning the exorbitant charges that these on-line supply app firms cost to eating places, that are then compelled to cross these extreme prices on to customers,” the lawmakers wrote. “It’s notably troubling that this merger is being contemplated throughout a pandemic, when shopper demand has elevated and when eating places are extra determined for income than ever.”
Information broke on Might 12 that Uber had approached Grubhub with a proposal for an all-stock deal. Uber didn’t instantly reply to a request for touch upon the letter.
The letter from Klobuchar, the highest Democrat on the Senate Judiciary Committee’s antitrust panel, in addition to Senators Patrick Leahy, Richard Blumenthal and Cory Booker was addressed to Makan Delrahim, head of the Justice Division Antitrust Division and Joseph Simons, head of the Federal Commerce Fee. The 2 businesses be sure that mergers adjust to antitrust legislation.