According to Reuters, after Amazon India was exposed last week for manipulating rankings and copying competing products, the Alliance for Digital India Foundation (ADIF) and the Confederation of All India Traders (CAIT) strongly condemned it and urged the government to intervene in a timely manner. The matter also attracted the attention of the US government, Amazon's home country. After the news broke, bipartisan U.S. lawmakers, led by Democratic Senator Amy Klobuchar and Republican Senator Chuck Grassley, plan to propose a new antitrust bill called the American Online Choice and Innovation Act, which aims to prohibit big tech platforms such as Amazon and Alphabet's Google from favoring their own products and services.
“When dominant tech companies shut out rivals & stifle competition, it hurts small businesses & can increase your costs,” Klobuchar said in a tweet Thursday, adding: “The new bill will establish new rules of the road to prevent large companies from squeezing out their smaller competitors.”
The bill will reportedly be introduced early next week and must pass both houses of Congress to become law.
The report pointed out that India is not the only country where Amazon has violated the law. In fact, it has been punished by several countries for various violations, among which the European Union fined it $886.6 million in July 2021, France fined it 35 million euros in 2020, and the US Treasury Department fined it $134,523 in 2020.
After the new bill is introduced, Amazon will face more constraints, which is undoubtedly good news for third-party sellers.
Editor ✎ Xiao Zhu/ Disclaimer: This article is copyrighted and may not be reproduced without permission. |
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