A court order to restructure Amazon’s enormous $1.3 trillion empire may be issued as a result of the lawsuit’s broad implications.
A significant antitrust case against Amazon is apparently being prepared by the Lina Khan-led Federal Trade Commission (FTC) in the United States, a move that might eventually result in the breakup of some components of the e-commerce behemoth.
According to sources with direct knowledge of the situation, the case may be launched as early as August and is likely to cover a variety of Amazon business practices that have been deemed to be anti-competitive.
A court-ordered restructure of Amazon’s enormous $1.3 trillion empire may be necessary as a result of the lawsuit’s broad implications.
The Federal Trade Commission (FTC) has been looking into Amazon for a while now, focusing on a number of potential complaints, including claims that are similar to those made in other cases where the company has been accused of imposing rules that force other retailers to only offer their lowest prices on Amazon’s platform.
The practices that the FTC regards to be harmful to fair competition are among the main areas of emphasis for the next litigation, along with Amazon Prime. One big issue is that Amazon Prime’s bundled services may be used illegally to strengthen the company’s position in the market.
In a recent legal action against Amazon, the FTC charged the e-commerce behemoth of using misleading methods to sign up users for its Amazon Prime programme without receiving their complete knowledge or approval.
The case, which was submitted in a federal court in Seattle, claims that millions of customers were unintentionally tricked by Amazon into signing up for automatically renewing Prime subscriptions. According to the FTC, Amazon used “dark patterns,” or user interface designs that are deceptive and used to coerce users into making repeat purchases, to hurt consumers financially and frustrate them.
