The Federal Trade Commission and attorneys general in 17 US states have sued AmazonAccusing the e-commerce giant of monopolistic practices. According to the complaint, Amazon abused its dominant position in the market to increase the prices imposed on users and obtain high percentages of companies that sell their products through the platform.
“Amazon is a monopoly and exploits its monopolies so buyers and sellers pay more for worse service,” FTC Chairwoman Lina Khan said at a news conference. “The stakes are high. There is immediate and ongoing damage. Sellers are paying $1 for $2 to Amazon.”
Company: If the lawsuit succeeds, consumers lose
The Seattle company responded: “It is the wrong reason and we will point it out in court – if the lawsuit is successful, the result will be fewer products on the market, higher prices and slower deliveries.”
“Today’s lawsuit makes clear that what the FTC is focused on is far from what its mission should be, which is to protect consumers and competition. The practices challenged by the FTC have helped spur competition and innovation throughout the retail industry and have led to increased selection, lower prices and faster shipping for Amazon customers, as well as greater opportunities for many businesses selling on Amazon.
Federal Trade Commission charges
According to the government agency for competition and consumer protection and prosecutors in various states, including New York, Amazon would have prevented merchants on its platform from offering lower prices elsewhere and would have forced them – in order to return to the Prime package -. To use their own logistics service to ship the products. These practices led to a deterioration in the quality of consumer spending, according to US authorities, by increasing prices and reducing competition.
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