Dec 9, 2021 - World

Italy fines Amazon $1.3 billion for violating antitrust law

The outside of Amazon's Ariete 1 sorting warehouse in Arzano, Italy, in March 2021.
Photo: Ivan Romano/Getty Images

Italy's antitrust regulator fined Amazon $1.3 billion on Thursday, claiming an investigation unveiled that it abused its dominant position in the market by favoring third-party sellers that used its logistics services.

Why it matters: It comes amid a wave of antitrust law enforcement by European nations against Big Tech companies.

What they're saying: "The investigation showed that such benefits are crucial to gain visibility, to boost sales and, in turn, to the success of sellers’ offers on Amazon.it," the Italian Competition Authority said in a press release.

  • "In addition, third-party sellers using [Fulfilment by Amazon] are not subject to the stringent performance indicators that Amazon applies to monitor the non-FBA sellers’ performance, which can ultimately lead to the suspension of non-compliant sellers’ account on Amazon.it," the regulator added.

The big picture: The Italian Competition Authority says it is also requiring the company to offer "fair and non-discriminatory standards" to third-party listings.

  • Amazon said it "strongly disagreed" with the Italian regulator's decision and would appeal, according to Reuters.

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