Breaking News
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% Upgrade now

Amazon faces UK probe over suspected anti-competitive practices

Stock Markets Jul 06, 2022 16:30
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: The Amazon logo is displayed on a sign outside the company's LDJ5 sortation center, as employees begin voting to unionize a second warehouse in the Staten Island borough of New York City, U.S. April 25, 2022. REUTERS/Brendan McDermid.
 
AMZN
-1.57%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

LONDON (Reuters) -Britain's antitrust watchdog is investigating Amazon.com Inc (NASDAQ:AMZN) on concerns it was hurting competition by giving its own sellers an unfair advantage in its marketplace over third parties, adding to global regulatory scrutiny of the U.S. tech giant.

Britain's Competition and Markets Authority (CMA) said it opened an investigation on Tuesday into whether Amazon's practices that affect sellers on its domestic marketplace may be anti-competitive and result in a worse deal for customers.

"It's right that we carefully investigate whether Amazon is using third-party data to give an unfair boost to its own retail business and whether it favours sellers who use its logistics and delivery services – both of which could weaken competition," Sarah Cardell, general counsel at the CMA, said in a statement.

Millions of people across Britain use Amazon's services for fast delivery, the CMA said.

A spokesperson for Amazon said the company would work closely with the CMA during its investigation, adding that sales from the company's selling partners continued to grow faster than Amazon's retail sales.

The investigation follows a current European Commission (EC) probe looking at similar concerns but which does not cover issues affecting Britain following Brexit, the CMA said, adding that it seek to liaise with the EC.

EU antitrust regulators in November 2020 charged Amazon with distorting competition in online retail markets and opened a second investigation into the company's business practices.

The Financial Times on Wednesday reported that Amazon will share more data with rivals and offer buyers a wider choice of products as part of a deal with the EU. (https://on.ft.com/3OIKYMe)

Amazon will give third-party sellers on its marketplace access to information that could help sell more products online, the FT said.

The British regulator said its investigation would focus on three main areas, including how the Seattle-based company collects and uses third-party seller data and how it sets the eligibility criteria for selling under the Prime label.

Separately, Germany's antitrust watchdog on Wednesday subjected the e-commerce giant to stricter supervision rules, saying Amazon's position is of outstanding, cross-market importance for competition.

Amazon faces UK probe over suspected anti-competitive practices
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email