German Antitrust Authority Fines Amazon for Pricing Policy Violations

The German Federal Cartel Office has informed Amazon that its pricing policies for retailers violate rules related to the digital economy and fair competition. According to Jin10, the authority has seized 59 million euros (approximately 70 million dollars) in illegal profits from the company. The office noted that Amazon removes or does not recommend products deemed to be priced "too high," a practice that should only be used in special circumstances such as price gouging. Like other major U.S. tech companies, Amazon is facing increasing scrutiny from global regulatory bodies, including those in Germany and the European Union, due to its business practices and dominance in the e-commerce sector. Data from the Cartel Office indicates that about 60% of online retail sales in Germany are conducted through Amazon. This marks the first time the German antitrust regulator has exercised its power to confiscate profits related to misconduct by a tech company.