The German cartel watchdog has started an investigation into possible “anti-competitive practices” by online store group Amazon.
In doing so, the Bundeskartellamt uses a new law that gives the regulator more power to tackle large tech companies.
According to the head of the competition authority Andreas Mundt, it is first necessary to determine precisely how dominant Amazon is with its online marketplaces and many digital offers. If there is a “virtually indisputable economic dominant position”, competition may sometimes be at stake.
The latter would be the case, for example, if Amazon were to favour its own services over other sellers on the platforms or were to exclude certain other parties through its policy. Mundt added that under the new law, the regulator could “take early action against and ban Amazon’s anti-competitive practices.”
It is not the first time that the Bundeskartellamt has used the new law that came into effect in January. The regulator is also already looking at what the new regulations mean for Facebook, which, like Amazon, appears to have a strong position and may endanger specific competition.