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Amazon cops major penalty by Italian regulators

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Major online retailer, Amazon has been fined $1.2 billion by regulators in Italy

Regulators in Italy say that Amazon has abused its market dominance by the way it promotes its own distribution service, Fulfilment by Amazon.

It’s the second time that regulators have taken on Amazon in a month – and they say that companies using Amazon as a selling platform are forced to use the FBA service in order to access key benefits such as selling products with prime delivery where no extra costs would be passed on to customers.

A visa credit card is held in front of an Amazon logo in this picture illustration taken September 6, 2017. REUTERS/Philippe Wojazer/Illustration

Amazon says that it “strongly disagreed” with the decision, and would appeal

Italian regulators ruled that Amazon put third-party sellers at a disadvantage by requiring use of its own service to access key benefits and events.

“Amazon has thus prevented third-party sellers from associating the Prime label with offers not managed with FBA,”

it said.

The regulator insisted that access to such functions is “crucial” for sellers to achieve success on the Amazon Marketplace.

Regulators also said it would impose corrective steps which will be subject to review by a monitoring trustee.

Amazon said in a statement that the fine was “unjustified and disproportionate”.

“We strongly disagree with the decision of the Italian Competition Authority and we will appeal,” said the company.

“Small and medium-sized businesses have multiple channels to sell their products both online and offline: Amazon is just one of those options.

The regulatory action is the second fine against the eCommerce giant in a matter of weeks after both the platform and tech giant Apple were fined $228 million for restricting Beats headphone sales, by limiting them to select retailers.

Amazon and Apple have confirmed that they plan to appeal against the fines.

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Why the meme-stock frenzy is unlikely to repeat

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GME shares surge 74%, but experts stress a meme-stock frenzy resurgence is unlikely due to fundamental differences in the company’s financial situation.

Australia’s budget unveils a second consecutive surplus of A$9.3 billion, prioritising the critical minerals industry and green energy initiatives to reduce reliance on Chinese supply.

Also, GameStop shares have surged 74%, but experts caution against expecting a repeat of the 2021 meme-stock frenzy. #featured #trending

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Why are airlines after the Biden Administration?

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Major airlines are taking legal action against the Biden administration over a newly implemented rule requiring them to disclose fees upfront.

On this episode of Hot Shots – Major airlines are suing the Biden Administration, AI-piloted fighter jets, SpaceX faces funding challenges, and Apple receives crushing feedback.

Ticker’s Ahron Young & Veronica Dudo discuss. #featured #trending

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The mounting pressure on Government spends

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Questions abound regarding the factors fueling this inflation surge in Australia and whether it correlates with the escalating government expenditures.

Concerns extend to how Chalmers navigates the mounting pressure amid discrepancies in spending allocations.

Moreover, as Australians grapple with the reality of rising living costs, the feasibility of cutting spending becomes a pressing issue. Additionally, amidst economic uncertainties, individuals seek guidance on managing stock market risks effectively. #Featured #Trending

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