Regulators launch suit to upend Amazon’s business empire

[Shel_B]

Since just about all of us use Amazon, Google, Facebook, and other "Big Tech" companies, sometimes in ways we don't even know, this article may be of some interest.

The U.S. government is launching its most consequential attack on the dominance of Big Tech in Americans’ daily lives: a sweeping antitrust lawsuit targeting retail giant Amazon Inc.

The legal challenge, filed in a federal court in Washington state, will be a defining cornerstone of the Biden administration’s pledge to curb the power of the nation’s largest tech companies, including Google, Facebook and Apple, which have been accused of running modern monopolies that don’t fit within the confines of antiquated antitrust laws.

Regulators launch suit to upend Amazon’s business empire

The legal challenge, filed in a federal court in Washington state, will be a defining cornerstone of the Biden administration’s pledge to curb the power of the nation’s largest tech companies.

www.politico.com

 

[UG_Passat]

Looks like the government has no use for them anymore.

 

[Rmay635703]

Looks like the government has no use for them anymore.

All of Amazons profit in certain years was from the government and military, product sales are mostly a loss leader

 

[ARCOgraphite]

Good riddance I say. Harrumph, Harrumph!

 

[andrew_j]

That article no details about what they are actually challenging or did I miss it

 

[I<3oil]

That article no details about what they are actually challenging or did I miss it

it's fairly vague

The case challenges a host of Amazon’s business practices, including rules that the FTC says block lower prices on competing websites and policies the FTC believes force merchants to use Amazon’s logistics and advertising services.

Khan rose to prominence with a 2017 academic paper specifically identifying Amazon as a modern monopolist needing to be reined in. Because any case will likely take years to wind through the courts, the final result will rest with her successors.

It is the fourth case against Amazon from the FTC since Khan started in 2021. The company settled a pair of privacy cases over its Ring camera and Echo smart speaker businesses for $30 million earlier this year. A third case, alleging the company makes it unnecessarily difficult to cancel Prime subscriptions, is in litigation. Those investigations started prior to Khan’s tenure.

 

[CarLuver]

i thought a huge part of amazons profit was from AWS . hosting is where the money is

 

[ripcord]

i thought a huge part of amazons profit was from AWS . hosting is where the money is

Yep. Amazon uses it to funnel profits out of it's other business segments by "charging" the retail side of it's business for computing services. That way only AWS shows a profit. Fancy tax shelter stuff to a large degree.

 

[zzyzzx]

Regulators launch suit to upend Amazon’s business empire​

 

[Pablo]

If they go after the false advertising, then yes all for it. A distinct example are over promising on delivery dates that definitely drives a purchase and immediately after purchase delivery date moves out.

But YOU know we will pay for this on both ends. WE pay the gov and Amazon raises prices.

 

[GON]

If they go after the false advertising, then yes all for it. A distinct example are over promising on delivery dates that definitely drives a purchase and immediately after purchase delivery date moves out.

But YOU know we will pay for this on both ends. WE pay the gov and Amazon raises prices.

I am shopping for a motorcycle battery on Amazon this morning .About 45 minutes of searching to get past the continuous promotion of sponsored batteries, in hopes of simply finding the right battery.

Tremendous amount of trickery on Amazon when searching for a product on Amazon when one doesn't have the exact model number of the item.

 

[BMWTurboDzl]

This is just absurd. Nobody is forced to use AMZN to sell products. More populist BS.

 

[nwjones18]

Yeah no one has to buy from Amazon, so I don't see how they could go after them and not say Walmart.. I buy from them when they are the cheapest and that happens about 1/2 the time. They were $35 less then everyone else online for the Curt trailer hitch I just ordered.

 

[Gyro Gearloose]

As a company Amazon has always been barely profitable, reinvesting most of their profits into growth. They do make a ton of money however with about 3/4 of it coming from AWS. So in essence they use their web hosting service to fund a nearly non-profit retail company. As a consumer I say party on dude, but I can see how other retailers would chafe at that.

 

[GON]

As a company Amazon has always been barely profitable, reinvesting most of their profits into growth. They do make a ton of money however with about 3/4 of it coming from AWS. So in essence they use their web hosting service to fund a nearly non-profit retail company. As a consumer I say party on dude, but I can see how other retailers would chafe at that.

AMZN does not use Generally Accepted Accounting Principles (GAAP), so where they make and use their revenue and profits is not truly transparent nor clear. AMZN makes a lot of money for investment banks and outside accounting firms- so all is well in AMZN's financial business practices.

Rarely do people mention how AMZN has done so well. It was AMZN's ability to borrow/ raise unlimited amounts of money at near zero percent for many years. Imagine how successful you might be if you could get some very smart people together, and get unlimited funding at near zero percent.

 

[IndyIan]

Amazon.ca is not great IMO... Convenient sometimes for stuff not available locally, but most of the time the local retailers sale price beats amazon by quite a bit if they carry a similar product.

 

[2strokeNorthstar]

Meanwhile they completely ignore Blackrock and Vanguard owing the world.

 

[Heywood_6078]

The only reason I ever use Amazon is because what I order is here the next day or, the day after.

 

[Brett776]

I find that Amazon is simply easy, especially for random things I buy. With prime shipping (free but obviously not completely due to annual membership) the costs on many things is lower. Counting shipping, my protein powder and bars is cheaper on Amazon than any other website for example.
I buy all my HVAC filters on Amazon because I can’t find my size at local stores, I’d have to drive a ways. When I was changing my own oil Amazon by far beat autozone and I didn’t have to go to Walmart.
With subscribe and save Amazon is also the best deals on kids diapers. I can think of a lot of things on Amazon that are either a better deal or so close the convenience is worth the extra price.
I’m all for buying local if it can compete, but when my local GNC or health food store charges 15 more bucks for a can of protein powder I’m gonna buy Amazon.

 

[Dave Hess]

Meanwhile they completely ignore Blackrock and Vanguard owing the world.

Yep.

Everybody wants to go after Amazon cause they got deep pockets, even foreign governments want to constantly sue them.