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Amazon Faces Probe Over Marketplace Practices From UK Competition Watchdog

Amazon Faces Probe Over Marketplace Practices From UK Competition Watchdog

The CMA will investigate Amazon's practices affecting sellers on its marketplace may be anti-competitive and result in a worse deal for customers.

By Reuters | Updated: 6 July 2022 17:05 IST

Amazon Faces Probe Over Marketplace Practices From UK Competition Watchdog

Photo Credit: Reuters

Investigation would focus on how Amazon sets the eligibility criteria for selling under the Prime label.

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Highlights

Competition and Markets Authority (CMA) is investigating Amazon.com
The investigation follows a current European Commission probe
CMA will investigate how Amazon collects and uses third-party seller data

UK's antitrust watchdog is investigating Amazon.com on whether the US tech giant was hurting competition by giving its own sellers an unfair advantage over third-party sellers on the marketplace.

Britain's Competition and Markets Authority (CMA) said it opened an investigation on Tuesday on concerns Amazon's practices affecting sellers on its domestic marketplace may be anti-competitive and could result in a worse deal for customers.

The investigation follows a current European Commission probe looking at similar concerns but which does not cover issues affecting the UK following Brexit.

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The British regulator said its investigation would focus on three main areas, including how the Seattle-based company collects and uses third-party seller data and how it sets the eligibility criteria for selling under the Prime label.

Amazon.com did not immediately respond to a Reuters request for comment outside regular business hours.

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© Thomson Reuters 2022

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