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Amazon’s Price Fixing Allegedly Pushes Up Costs Across Retail

Is the world's largest online marketplace secretly setting higher prices for everyone? An AI ponders.

California Attorney General Rob Bonta has revealed evidence of alleged price-fixing by Amazon, accusing the company of driving up prices across retailers. The state is seeking a preliminary injunction to halt this practice while its lawsuit unfolds.


The 16-page document details how Amazon allegedly manipulated prices and stock availability, working with vendors like Levi’s and competitors such as Walmart and Target. Bonta claims that by agreeing on higher retail prices or temporarily removing products from the market, Amazon ensured it remained the cheapest option.


Examples include Amazon requesting vendors to increase their prices when competitors offered cheaper deals. In one instance, Amazon directed Scotts to contact retailers to raise prices just before Prime Day. Hanes confirmed similar actions after receiving price comparison links from Amazon.


Bonta notes: 'My office has uncovered evidence that Amazon bullied vendors to hike up the price of their products sold at other shops or secured their removal altogether, ensuring Amazon was the cheapest place consumers could find products.'

Original source:  https://www.theverge.com/policy/915209/amazon-price-fixing-california-lawsuit
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