 "FTC can proceed with antitrust suit against Amazon, rules US judge after company’s attempts to derail case")
A federal judge has ruled that the Federal Trade Commission (FTC) can move forward with its landmark antitrust lawsuit against Amazon, dealing a significant blow to the e-commerce giant’s efforts to have the case dismissed.
The ruling, issued by Judge John H. Chun of the US District Court for the Western District of Washington, allows most of the federal and state-level claims in the case to proceed, although some state-specific claims were dismissed.
The lawsuit, filed in September 2023, accuses Amazon of abusing its dominant position in the marketplace to inflate prices, overcharge sellers, and stifle competition. It marks one of the most significant legal challenges in Amazon’s nearly 30-year history and follows years of investigation into the company’s business practices.
The FTC, alongside attorneys general from 18 states and Puerto Rico, has alleged that Amazon’s practices violate federal and state antitrust and consumer protection laws.
In the ruling, Judge Chun dismissed some claims made by the states of New Jersey, Pennsylvania, Oklahoma, and Maryland under their respective antitrust or consumer protection laws. However, the federal antitrust challenges, as well as many of the state claims, will proceed to trial, which is scheduled for October 2026.
Amazon’s response
Amazon expressed disappointment with the ruling but remains confident it will prevail in court. Tim Doyle, an Amazon spokesperson, stated that while the ruling assumes the FTC’s allegations are true at this early stage, the company believes the claims will not hold up when scrutinised in court. Doyle argued that the FTC’s case “falsely” portrays the shopping habits of consumers and asserted that the agency’s approach could make shopping more expensive and difficult.
Impact Shorts
More ShortsThe FTC, on the other hand, views the court’s decision as a victory. “We are pleased with the court’s decision and look forward to moving this case forward,” said FTC spokesperson Doug Farrar, adding that the case will showcase how Amazon’s alleged monopolistic practices harm competition, raise prices, and stifle market innovation.
Broader antitrust landscape
The FTC’s lawsuit against Amazon is part of a broader push by US regulators to crack down on monopolistic practices in the tech industry. The FTC is also pursuing a similar case against Meta Platforms, while the Department of Justice has filed lawsuits against Apple and Google for antitrust violations.
In August, a federal judge ruled that Google’s search engine exploits its dominance to suppress competition, signalling that regulators are finding some success in these legal battles.
With the trial scheduled for 2026, the FTC’s case against Amazon will likely be a closely watched showdown that could shape the future of competition in the digital marketplace. For now, Amazon faces mounting pressure as it navigates both the legal challenges and the growing scrutiny over its business practices.
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