Amazon Charged With $1 Billion Class Action Lawsuit Over Alleged Antitrust Breach

October 21, 2022 By Prelo Con

(Image Credit Google)

Amazon Charged With $1 Billion Class Action Lawsuit According to the suit, which is expected to be filed with the Competition Appeal Tribunal in October, Amazon harms its customers by directing them to its "featured offer," resulting in better-value deals being hidden and consumers paying more for products. According to the lawsuit, Amazon uses its "Buy Box" to direct customers to its own products as well as items from third-party sellers who use its order fulfillment and delivery services. Private and Self-serving Algorithm Used by Amazon in UK Faces £900m Lawsuit

Private and Self-serving Algorithm Used by Amazon in UK Faces £900m Lawsuit

The Buy Box is a section of Amazon's product pages that allows customers to "Buy Now" or "Add to Basket" with a single click. Amazon establishes specific criteria for sellers to become Buy Box eligible, and if accepted, they gain listing placement advantages. Also Read: How to Connect Your Amazon Alexa to iPhone - Steps It goes on to say that Amazon employs a "secretive and self-serving algorithm to ensure that the Buy Box nearly always features goods sold directly by Amazon itself, or by third-party retailers who pay Amazon hefty storage and delivery fees." Hausfeld, a specialized law firm, is leading the litigation. According to Hausfeld, the Buy Box tool accounts for 80% to 92% of Amazon purchases. Anyone who lives in the United Kingdom and has made an Amazon purchase since October 2016 is included in the claimant class, according to Hausfeld. If the lawsuit is successful, Hausfeld estimates total damages to be in the region of £900 million ($1 billion). The lead representative is Julie Hunter, an independent consultant. Amazon

“Millions of consumers have paid too much and been denied choice. This action seeks fair redress for them,” said Lesley Hannah, one of the Hausfeld partners leading the litigation. “Amazon takes advantage of consumers’ well-known tendency to focus on prominently-placed and eye-catching displays, such as the Buy Box.” “Amazon doesn’t present consumers with a fair range of choices – on the contrary, the design of the Buy Box makes it difficult for consumers to locate and purchase better or cheaper options,” Hannah added. “Amazon should not be allowed to take advantage of its customers in this anticompetitive way.” An Amazon spokesperson said the claim is “without merit and we’re confident that will become clear through the legal process.”

By Prelo Con

Following my passion by reviewing latest tech. Just love it.

Amazon Charged With $1 Billion Class Action Lawsuit Over Alleged Antitrust Breach

Walmart's GenAI Search Engine: Challenging Google's Dominance in Retail Search

Introducing the MSI Claw Handheld: Your Ultimate Gaming Companion

Uber Increases In-App Ads, Prompting Mixed Reactions from Customers

Apple's iOS 18: A Leap into the AI Era

Google's Regular Pixel 8 Won't Get Gemini Nano AI

MacBook Air M3 Makes Amends for M2's Storage Blunder

Samsung Unveils the Galaxy M15 5G

Elon Musk's xAI to Open-Source Chatbot Grok

Contra: Operation Galuga - A Modern Run-and-Gun Classic

Musk Confirms X's TV App Arrives This Week

The Future of Amazon Freevee: Prime Video with Ads Takes the Spotlight

Amazon Is Shutting Down the Echo Connect

Apple's AI Shopping Spree: A Tech Giant's Quest for Dominance

Apple Unveils Revolutionary AI Tool: Edit Photos with Just Words!

Disney Cracks Down on Password Sharing, Offering Paid Access for Outsiders

Bluesky Takes Flight: Decentralized Twitter Rival Opens Doors and Protocol