EU regulators to Look Into Facebook acquisition of WhatsApp

European Union antitrust regulators will decide by Oct. 3 whether to clear world No. 1 online social network Facebook’s $19 billion offer for mobile messaging start up WhatsApp, the European Commission said on Monday.

Facebook also needs approval for the deal from various places in Europe, and now it looks like the company has come up with an interesting way to get the deal approved in Europe.

Rather than having the acquisition reviewed by different regulators in some European countries, Facebook has gone straight to the EU Regulators, and has asked them to review their plans to take over WhatsApp.

If the European Regulators approve the deal, this means that Facebook will not have to seek any approval from the individual regulators in the various European countries.

The European Commission reviewing a deal like this is nothing new, although this is probably one of the first times that a company involved in deal like this has asked the regulators for approval of the acquisition.

Facebook are obviously hoping that requesting a review of the deal, and also being as upfront as they can about the purchase, will help them get on the right side of the EU regulators, and increase their chances of getting the WhatsApp purchased approved.

Uber blocked in Germany

A US-designed smartphone application that connects passengers with cars for hire was blocked from operation in Germany by court injunction Tuesday

BERLIN -- A court has barred ride sharing service Uber from operating in Germany, the latest shot in the San Francisco company's fight with taxi drivers worldwide.

Frankfurt state court spokesman Arne Hasse said Tuesday the decision that Uber can't offer its services without a specific permit under German transport laws applies nationwide.

The injunction applies pending a full hearing of a suit brought against Uber by Taxi Deutschland, a German cab association that also offers its own taxi-ordering app. The suit is being heard in Frankfurt because it is one of the several German cities in which Uber operates.

The court ruled the app can no longer function within the country without an official permit under the Passenger Transport Act.

The ruling is welcome news for Germany’s official taxi companies, which have long charged that the app side-steps regulations and operates without adherence to safety standards.

Uber promised to appeal. “We will fight the decision and defend our rights to the last,” the company said in a statement.

“We believe that competition is good for everyone,” it said. “That’s why Germany is one of our fastest growing markets.”

"It's never a good idea to limit people's choices," Uber said. "We believe that innovation and competition is good for everyone -- it profits both drivers and passengers."

The ruling comes after Berlin authorities last month barred Uber from operating in the capital because of safety concerns.

Taxi Deutschland's arguments were in line with those of established cab companies that claim Uber's app-based services, which offer limousines and pickups by private drivers, dodge rules that ordinary taxi firms have to abide by.

Taxi Deutschland said Uber allows drivers to skirt safety and insurance regulations that apply to conventional cabs, and for employers to avoid sector benefit and wage agreements and taxes.

"The state, society and workers all lose," the company said in a statement.

Violators of the injunction risk a fine of 250,000 euros (328,265 dollars) or imprisonment.

Uber is active in more that 200 cities worldwide with headquarters in San Francisco, California, and regional offices in Amsterdam.

The app had already been banned in Germany on a municipal basis, notably in Berlin, where authorities deemed it unsafe.

Passenger transportation should only occur under legislative oversight, said Dieter Schlenker, chairman of Germany’s main taxi cooperative.

“No passenger can check the driver, business and vehicle themselves,” Schlenker said.