An antitrust lawsuit filed against Amazon by the Washington, D.C., attorney general Karl Racine this week promises to test the evidence and allegations that have been marshaled against the tech giant by U.S. legislators and regulators.
The suit leans heavily on findings from the U.S. House Judiciary antitrust subcommittee last year, alleging that Amazon illegally manipulates the e-commerce market to its advantage by penalizing third-party sellers that offer products at lower prices on other platforms.
But wait a second, isn't it a good thing for consumers — supporting the very purpose of antitrust law — for Amazon to promote the lowest-price products?
That is the essence of Amazon's response, and it's one reason the case is so interesting, promising to put the spotlight not just on Amazon's business tactics but on the potential need to upgrade antitrust laws and regulations for a new era of commerce.
At first glance, the suit faces an uphill battle in at least a couple areas. However, the allegations in the suit ring true to the experience of Jason Boyce of Avenue7Media, a former Amazon third-party seller and GeekWire's collaborator on the Day 2 podcast.
We talk about his experiences as a third-party seller, debate the relative merits of the antitrust suit, and consider the implications for incoming Amazon CEO Andy Jassy on this episode of Day 2, GeekWire's podcast about everything Amazon.