Europe accuses Amazon of distorting competition |
The European Commission has concluded that Amazon's use of independent seller data for its own benefit violates European competition rules.
European Union Commissioner Margaret Westager announced that the European Union has accused Amazon of misusing data from external providers through its platform.
The European Commission said Amazon was systematically using seller data in the market to unfairly compete with French and German sellers.
The allegations are the result of an investigation announced last year into how Amazon is using sales data to compete with independent sellers on the platform.
"By using seller data, Amazon can avoid competitive risks and leverage its business advantages to provide services in France and Germany," the committee said.
The European Commission, the executive branch of the European Union, today announced its second investigation into the company's e-commerce activities.
The new survey plans to give market sellers preferential treatment for their logistics products and services.
Vestager said, "If third-party activity becomes a competitor, the third-party activity data should not be used for Amazon."
She added: The playing field on the Amazon platform should be equal and laws should not artificially favor their products or take advantage of the offers of retailers who use Amazon logistics and delivery services.
Earlier this year, federal lawmakers asked Amazon CEO Jeff Bezos how to deal with outside sellers.
Before the hearing, the Wall Street Journal reported that Amazon was using data from independent vendors on its platform to develop competing products.
In a press survey, Amazon replied: Amazon uses sales data to provide customers with the best possible experience, but it forbids its employees from using supplier data to determine which products should be brought to market.
In August, there were early indications that after reports that prosecutors in New York and California and the Federal Trade Commission were investigating the Amazon platform, the US investigation entered a new phase.
European countries also conducted their own surveys. Last year - the same day the European Union announced the investigation - Amazon agreed to change terms of use for external retailers in response to an investigation by German regulators.
The company agreed to give the seller 30 days and the reasons for taking the seller off the platform.