The European Commission has asked record companies if they are satisfied with Universal Music Group's plans to acquire rival EMI, The Sunday Telegraph said.
The British newspaper said it had seen a detailed EC questionnaire sent to rival companies that included asking if the assets Universal had proposed selling were satisfactory to them.
The Sunday Telegraph said enough objections could conceivably delay the acquisition or eventually require Universal to give up its stake in more bands and artists.
The industry has already made it known it has concerns about combining Universal and EMI from a competition standpoint. Critics say it would put too much market power in the hands of one company, which would dampen diversity in the record business.
Backers of the deal contend it will benefit the industry overall because it would enable them to focus on future strategic issues. They also say Universal has a proven record of nurturing promising musical talent and the combined companies would also get EMI back on track.