FTC may file suit against Amazon later this month

The U.S. Federal Trade Commission (FTC) may initiate legal action against Amazon.com later this month, according to sources familiar with the matter. This potential lawsuit is linked to antitrust allegations against Amazon and may focus on issues such as the company’s Fulfillment by Amazon logistics program and pricing practices by third-party sellers on its platform. The FTC might also propose «structural remedies» that could include breaking up the company.

Amazon and the FTC have not provided official comments on these reports. This investigation into Amazon began during the previous administration and is part of a broader scrutiny of tech giants like Amazon, Google, Meta Platforms, and Apple for potential antitrust violations. Amazon has faced criticism for allegedly giving preferential treatment to its own products and undermining external sellers on its platform, although the company has denied these allegations.

In June, the FTC filed a lawsuit against Amazon, accusing it of enrolling customers into a paid subscription service without their consent and making it challenging for them to cancel the subscription. Amazon’s shares experienced a slight decline in extended trading following the news.

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