BRUSSELS (Reuters) – Amazon on Wednesday it was the victim of an anti-trust investigation by the European Union, for the use of merchants, the data highlights the increasing pressure on how tech firms operate from your information.
FILE PHOTO: the logo of The company, outside of an Amazon pop-up store in Berlin, Germany, on November 22, 2018. REUTERS/Fabrizio Bensch/File Photo
Amazon, Google, and Facebook are among U.S. tech giants that have led to complaints by competitors and academia, you will be asked antitrust enforcers around the world to find out how they use the information to boost their power in the market, which has led to calls for a break-up.
The European Commission is looking for feedback from retailers and manufacturers, since September of last year, Amazon’s role as a market town for the merchants, and as a competitor. Dealers have been complaining about the damage caused by the Amazon’s of copies of their products.
The Commission said that its investigation is focused on two things. The first of which is Amazon’s standard contracts with its vendors, and the second is to use the data to choose the winners of the “buy box”, which allows consumers to add items from a particular retailer directly into their shopping cart.
The european Commissioner for Competition, Margrethe Vestager, that it can fine companies up to 10 percent of its global sales, said that the issue was of crucial importance, as more and more Europeans are shopping online.
E-commerce has increased retail competition and brought more choice and lower prices. We need to make sure that the major online platforms will not eliminate these advantages by means of anti-competitive behaviour,” she said.
Amazon is said to be fully co-operate with the investigation by the european union. The company earlier on Wednesday to reach a deal with the German competition authority to review the terms and conditions of service of any third-party retailers as well.
Politico first reported the study last week.
- Amazon says that it will cooperate with EU antitrust regulators to probe
- The EU’s anti-trust regulators to examine Amazon over merchant information
The Commission has struggled to define the market in which Amazon operates in order to determine what competitive harm might be, the sources said.
She said that the issue was whether to look on Amazon, and in the overall market for retail sales, or in its own niche.
It would not be Amazon’s first run-in with the Commission’s decision. Two years ago, and was told to pay back taxes of about € 250 million ($280.35 million), Luxembourg with, as a result of the illegal tax benefits. That same year, he became the supervisor of the division involved and with e-book publishers in Europe.
Additional reporting by Phil Blenkinsop. Editing by Jane Merriman