Internal emails show how Amazon raises prices across the Internet, lawsuit says
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The Bottom Line
Unsealed emails allege Amazon colludes to raise prices across the Internet, according to a lawsuit.
How This Affects You
This practice affects "everything from diapers to clothing to furniture," resulting in increased costs for consumers on e-commerce platforms.
AI Summary
California Attorney General Rob Bonta alleged on Monday that newly unsealed emails reveal how Amazon colludes with rivals to raise prices across the Internet. The emails describe schemes where Amazon and competitors stop price matching, allowing one retailer to increase its price and the other to match it. This practice, affecting "everything from diapers to clothing to furniture," results in higher profits for retailers and increased costs for consumers. These emails surfaced in a 2022 lawsuit filed by the state of California, which accuses Amazon of pressuring vendors to raise prices on rival e-commerce sites or remove products from cheaper platforms. The New York Times notes these emails offer a "rare behind-the-scenes look at how Amazon operates its $2.66 trillion empire."
What's Being Done
California Attorney General Rob Bonta filed a 2022 lawsuit accusing Amazon of pressuring vendors and colluding on prices.
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