Foreign media are reporting that the global e-commerce giant is also caught in an antitrust storm, with reports suggesting the group is facing a class action lawsuit for allegedly joining five of the largest U.S. publishers in a collusive pricing scheme that has led to higher prices on e-book retail platforms other than Amazon.
The lawsuit alleges that Amazon entered into an anti-competitive agreement with them in 2015 that allowed them to “jack up” prices and raise prices. raise” prices by up to 30 percent.
The case was initiated by the law firm Hagens Berman, whose managing partner Steve Berman said in a statement that Amazon’s abuse of power proves once again that even new economy companies are playing old tricks when it comes to antitrust violations.
Separately, Connecticut Attorney General William Tong said the state is actively investigating how Amazon sells and distributes e-books and whether it engages in anticompetitive behavior in the e-book business through agreements with certain publishers. Connecticut has previously asked Amazon to provide documents related to deals with five of the largest U.S. book publishers.
The lawsuit alleges that as of 2018, Amazon controls nearly 90 percent of the e-book market, and by charging consumers higher fees, Amazon benefits greatly from higher prices.
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