Italian Authorities Impose 1.5 Trillion Won Fine on Amazon for "Abuse of Market Dominance"

"Convenience Provided Only to Amazon Logistics Service Users"
German and UK Governments Also Considering Regulatory Measures... Lawsuits Expected to Follow

[Image source=Reuters Yonhap News]

Italy's antitrust authority, the AGCM, has imposed a fine of approximately 1.5 trillion won on Amazon for abusing its dominant market position. Amazon strongly opposed the unfair decision and announced it would take legal action, but experts predict it will be difficult for the company to win. As countries across Europe, including Germany and the United Kingdom, are also preparing antitrust regulatory measures against Amazon, a series of lawsuits are expected to continue throughout Europe.

On the 9th (local time), the AGCM stated in a press release, "We have determined that Amazon abused its dominant market position and hindered fair competition, and thus imposed a fine of 1.1286 billion euros (approximately 1.5028 trillion won)." The agency added, "The amount of the fine was calculated comprehensively considering Amazon's revenue scale, the degree and duration of market abuse."

According to the AGCM, Amazon granted benefits such as placing banners in highly visible locations on its website to sellers using its logistics service, Amazon FBA. Conversely, sellers not using the FBA service were subjected to stricter quality inspections, and if they failed, their listings were canceled, thereby hindering fair competition.

Amazon immediately protested the decision as unfair and said it would formally file an objection. In a statement, Amazon said, "We strongly oppose the decision by the Italian authorities and will appeal. The proposed fines and remedies are unfair and excessive."

The AGCM's fine against Amazon was foreshadowed by its recent fine on Apple at the end of last month. The AGCM fined Apple 134.5 million euros for restricting the sales rights of its subsidiary Beats products to a few companies through unfair collusion, which harmed fair competition. Amazon was also fined 68.7 million euros for being involved in this case.

Not only Italy but also the governments of Germany and the United Kingdom are reportedly reviewing regulatory measures against Amazon, so intense litigation between Amazon and European authorities is expected to unfold. According to the Associated Press, German authorities are conducting a broad antitrust investigation into Amazon, and the UK government is also reviewing antitrust regulations along with privacy issues.

This content was produced with the assistance of AI translation services.