California says Amazon’s dominance drives up online prices – BBC

The state of California has accused Amazon of violating competition law with practices that prevent sellers from offering lower prices elsewhere.

The lawsuit from America’s most populous state says the moves have hurt rivals and made online shopping more expensive for everyone.

It marks the biggest legal threat Amazon has faced in the US.

But a similar lawsuit was dismissed in the US earlier this year for insufficient evidence of higher prices.

Proving harm to consumers in the form of higher prices is a key issue in US competition law.

Amazon said that like the DC case, California’s complaint had it “exactly backwards” and that the lawsuit should be dismissed.

“Sellers set their own prices for the products they offer in our store,” the company said. “Amazon takes pride in the fact that we offer low prices across the broadest selection, and like any store we reserve the right not to highlight offers to customers that are not priced competitively.”

In the complaint, California says…

Read Full Story: https://www.bbc.com/news/business-62908412

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