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The Amazon School of Monopolies: Lesson 1—Supress Price Competition by@linakhantakesamazon

The Amazon School of Monopolies: Lesson 1—Supress Price Competition

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Amazon employs anti-discounting algorithms for its own retail products, mirroring the strategies used against third-party sellers. These algorithms detect and deter discounting, leading to artificially inflated prices on and off Amazon. This strategy not only benefits Amazon but also hinders rivals from gaining a competitive edge by offering lower prices, effectively preserving Amazon's market monopoly.

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FTC v. Amazon Court Filing, retrieved on Sep 26, 2023, is part of HackerNoon’s Legal PDF Series. You can jump to any part in this filing here. This is part 40 of 80.

3. Amazon maintains its monopolies by suppressing price competition with its first-party anti-discounting algorithm

325. For Retail products that Amazon prices and sells itself, Amazon deploys a similar anti-discounting program that it implements through another pricing algorithm. While the exact mechanism differs from the mechanisms Amazon uses to punish sellers, the means, motive, and effects are all the same. Amazon uses its extensive surveillance network to block price competition by detecting and deterring discounting, artificially inflating prices on and off Amazon, and depriving rivals of the ability to gain scale by offering lower prices.



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This court case 2:23-cv-01495 retrieved on October 2, 2023, from ftc.gov is part of the public domain. The court-created documents are works of the federal government, and under copyright law, are automatically placed in the public domain and may be shared without legal restriction.