It's a deal that would marry two of the biggest brands in the DJ tech space, software giant Serato and Pioneer DJ, which makes equipment.
Earlier this year the Overseas Investment Office signed off on Pioneer DJ's owner, Japanese firm Alpha Theta, buying Serato. The firm subsequently sought clearance from the Commerce Commission for the deal.
This week submissions made to the Commerce Commission were published, highlighting some industry division over the commercial arrangement worth more than $100m.
American Company InMusic is one of the strongest opponents of the deal, and has previously indicated it could take the case to court if the deal goes through.
Owner Jack O'Donnell says his biggest concern is the "lack of neutrality" with the software essentially being sold to his competitor.
"We don't know what the ramifications of that are yet."
He's also concerned about the potential of a monopoly that could see prices go up.
Among other opponents of the deal is music retailer and distributor Webb Group, which distributes InMusic products, and owns RockShop, MusicBiz, Music Link and Music NZ.
Its key concern revolved around the risk of Pioneer DJ's owner, Alpha Theta (ATC), refusing to allow Serato's software to be licensed to its competitors.
"We believe if this happened it would substantially lesson competition in the DJ hardware market in New Zealand," the group wrote in its public submission.
"We depend on a competitive field to provide us with new product and competitive pricing. Without several players in this market, we are concerned that innovation will be lost, end users will have less choice, and prices will increase."
Writing in favour of the deal, Wellington-based investment bank Clare Capital said clearing the way for the deal to go through would be beneficial for the country.
"A transaction with ATC will open Serato up to a wide range of expertise and capital options which are not currently available."
But if the deal is blocked, it said that could deter future business.
"There is a danger that future founders won't offer services to New Zealanders because of the potential regulatory risk of a blocked sale."
Serato CEO Young Ly says the terms of the deal do ensure that the software giant will remain independent and in New Zealand.
"It's important to remember here that Serato is going to stay as an independent New Zealand company, we've looked after our hardware partners and their confidential hardware for years, so we are going to keep doing that."
Rather than quash innovation he says the sale will open up New Zealand's music industry to the world.
"We've already got a growing business, but we could be twice the size. If we are twice the size, suddenly New Zealand is going to be known as a music tech hub, the centre of music technology."
The Commission's currently weighing up the arguments as it considers whether or not the sale of Serato would significantly reduce competition in the DJ hardware market in New Zealand.
The Commerce Commission is due to release its decision on December 6, but that timeline could be extended.
SHARE ME