The company is likely to face an EU investigation next year into whether it favors its own branded products in its online marketplace, as European antitrust regulators prepare a case under landmark rules, people with direct knowledge of the matter said. .
The American online retailer could face a fine of up to 10% of its global annual turnover if it is found guilty of violating the European Union’s Digital Markets Act (DMA), which seeks to curb the power of big technology.
The decision on whether an investigation should be carried out or not will be made by the EU’s new antitrust chief, Teresa Ribera, in the coming months, according to sources. The Spaniard will take up her position next month, replacing the outgoing Margrethe Vestager.
Amazon said it is compliant with the DMA and has been constructively working with the Commission on its plans since designating two of its services as important business-to-consumer gateways and therefore subject to the new rules.
The DMA, which went into effect last year, prohibits Amazon and six other large technology companies from giving preference to their products and services on their platforms, among other requirements. The European Commission, which acts as the EU’s antitrust watchdog, said in March that it was gathering facts and information about Amazon’s treatment of its own brand products in the Amazon Store.
He declined to comment Thursday.
In its compliance report published in March, Amazon said its classification models do not differentiate whether the product is sold by Amazon Retail or a seller or whether it is an Amazon product or a third-party product.
Apple, Alphabet, Google and Meta are currently being investigated under the DMA, and Ribera will decide the results and not Vestager, one of the people said.
With information from Reuters.
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