The FTC has been investigating and interviewing small businesses that sell products on Amazon.com to determine whether the e-commerce giant is using its market power to hurt competition. A report said that those merchants were asked about the percentage of revenue they get from Amazon versus other online marketplaces like Walmart and EBay.
When did the probe beginThe probe began during former US President Donald Trump's administration when the government decided to investigate Amazon,
Google, Meta Platforms and
Apple for allegedly breaking antitrust law.
Which Amazon businesses may be affected
When FTC files the suit, it will likely target key elements of Amazon’s retail marketplace business, including its logistics program Fulfillment by Amazon as well as pricing by third-party sellers on its website, a report by Wall Street Journal recently claimed.
FTC chairperson Lina Khan’s roleIn 2017, FTC chairperson Lina Khan authored a Yale Law Journal article in which she alleged that Amazon's structure and practices posed anti-competitive concerns. She argued that the modern application of antitrust laws allegedly allowed tech giants to escape antitrust scrutiny.
Amazon has been criticised for allegedly favouring its own products over sellers on its platform, among other allegations. The company has denied the allegations.
What is at stake for AmazonA challenge to Amazon’s alleged monopoly could result in a breakup of the company’s trillion-dollar business. Amazon in 2021, pressed for Khan to be recused from its antitrust investigations. The company has also rejected all allegations against it.