The District of Columbia sued Amazon on Tuesday, accusing it of artificially raising prices for the products in its ubiquitous online marketplace and around the web by abusing its monopoly power, a sign that regulators in the United States are increasingly turning their attention to the company’s dominance across the economy.
In the lawsuit, the government said that Amazon had effectively prohibited merchants that use its platform from charging lower prices for the same products elsewhere online. That, in turn, raised prices for those products not just on Amazon’s website but in other marketplaces as well, it said.
“Amazon has used its dominant position in the online retail market to win at all costs. It maximizes its profits at the expense of third-party sellers and consumers, while harming competition, stifling innovation, and illegally tilting the playing field in its favor,” said Karl Racine, the Democratic attorney general for the District of Columbia.
Jodi Seth, a spokeswoman for Amazon, did not immediately have a comment on the lawsuit.
This is a developing story. Check back for updates.
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