The £6 billion merger between British cybersecurity company Avast and US rival NortonLifeLock has been provisionally given the green light by the UK competition watchdog.
The Competition and Markets Authority (CMA) said it does not believe the tie-up raises competition concerns in the UK following an in-depth merger launched in March.
The CMA said while concerns were first raised in its initial probe, more detailed analysis of the deal found that the merging businesses face “significant competition” from the likes of main rival McAfee and a range of other smaller suppliers.
According to the article, Microsoft, the company that owns the Windows operating system, has improved its free built-in security app such that protection "is as good as many of the products supplied by specialist vendors," making it an increasingly essential choice for consumers.
"We are currently satisfied that this deal won’t worsen the options available to consumers"
-Kirstin Baker, CMA
According to the CMA, Microsoft's recently released apps also more closely align with the merged companies' cyber security offerings.
For responses to its preliminary decision, the CMA has set a deadline of August 24. A final report is due on September 8.
In order to be safe online, millions of individuals in the UK rely on cyber safety services, according to Kirstin Baker, chair of the CMA inquiry group.
"We're certain that this agreement won't make the options available to customers worse after getting more information from the companies involved and other industry stakeholders.
"As a result, we have tentatively determined that the transaction can proceed."
In addition to praising the initial choice, NortonLifeLock stated that it "intends to continue working with the CMA and with Avast to enable the CMA's final report to be issued as soon as practical."
It anticipates being able to close the transaction by September 12.
The combination was initially hinted at in August of last year, pending regulatory permission.
Due to inquiries in the UK and Spain, it has been delayed from its March completion date.
NortonLifeLock and Avast both offer cyber safety software to consumers under a variety of different brands.
Products include antivirus software, also known as endpoint security software, privacy software, such as VPNs, and identity protection software.
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