Nov 22, 2024 17:00:00

EU Commission to launch antitrust investigation into Amazon's private label practices in 2025

Reuters reports that the European Commission, the EU's executive body, is expected to investigate Amazon's preferential treatment of its own brands on

the Amazon Marketplace as early as 2025, arguing that this may violate antitrust rules set out in the Digital Markets Act.

Exclusive: Amazon likely to face investigation under EU tech rules next year, sources say | Reuters
https://www.reuters.com/technology/amazon-likely-face-investigation-under-eu-tech-rules-next-year-sources-say-2024-11-21/

Amazon Marketplace Could Face EU Antitrust Case in 2025
https://www.pymnts.com/amazon/2024/amazon-marketplace-could-reportedly-face-eu-antitrust-case-in-2025/

Starting in March 2024, the EU will implement the Digital Markets Act (DMA), which requires large platforms designated as 'gatekeepers' to act fairly.

What will change with the EU's DMA, which requires Apple, Google, Meta, Amazon, Microsoft and TikTok to be open and fair? - GIGAZINE

One of the actions that may be considered to violate the antitrust rules mandated by the DMA is preferential treatment of in-house products and services on the platform. Apple, Meta, and Google have each been under investigation by the European Commission since March 2024 for possible violations of antitrust rules.

European Commission launches investigation into Apple, Meta and Google for alleged violation of digital market law; if found to be malicious, fines of up to 20% of global sales could be imposed - GIGAZINE

At the time, the European Commission also said it was gathering information about Amazon 'possibly prioritizing its own-brand products in its stores,' and Reuters reported that an investigation into the matter may soon be underway.

However, Margrethe Vestager, the European Commission's chief competition officer, is due to step down at the end of 2024. The decision on whether to investigate Amazon and, if so, when, will be left to her successor, Teresa Rivera.

If a company is found to be in violation of the DMA, the maximum penalty will be 10% of its annual turnover.