Italy fines Amazon 1,13 billion euros for abuse of online commerce dominance

The Italian competition authority reported, this Thursday (9), that it imposed a fine of more than 1,13 billion euros (R$7,1 billion) on Amazon.com for abusing market dominance, saying the e-commerce company has “absolute dominion” in the field and which has hurt its competitors in e-commerce logistics.

The authority, known as AGCM, said Amazon's European and Italian subsidiaries undermined competitors' ability to sell their products online by linking sellers' use of Amazon's logistics service to offers designed to gain more visibility online, such as Amazon Prime.

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In this way, other e-commerce logistics operators were deprived of the possibility of offering online sellers their own services, according to the regulator.

Competing marketplaces have also been harmed as sellers using Amazon's logistics are discouraged from selling their products on other platforms, the regulator said.

A Amazon said it intends to appeal the decision, calling the proposed fine and penalties “unjustified and disproportionate.”

Editor's Note: Amazon only dominates online commerce because consumers themselves are tired of a model archaic service and sales, that Italian businesspeople insist on maintaining.