Italy Slaps Amazon with $10m Fine for Shady Business Deals

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Amazon fined €10m in Italy for alleged unfair commercial practices

The Italian Competition Authority (ICA) announced on Wednesday that it had fined two subordinate companies of Amazon group 10 million euros for alleged unfair commercial practices, reported Xinhua.

The targeted subsidiaries were Luxembourg-based Amazon Services Europe and Amazon EU.

Following investigations, the competition watchdog claimed that Amazon limited consumers' freedom of choice by pre-setting the "recurring purchase" option instead of the "one-time purchase" for a wide selection of products sold by Amazon and third parties on the marketplace. Such practice "significantly restricts consumers' freedom of choice," the ICA said.

"The graphic layout of the pre-selected recurring purchase option may lead consumers to buy products periodically — even when there is no actual need — thereby limiting their ability to choose freely," it explained.

The authority added that Amazon was expected to design its online interface in a manner "that allows consumers to make free and informed commercial decisions."

Finally, the ICA stated that, in the first phase of their investigation, they also contested the pre-selection of the paid fast delivery option. In this regard, the ICA explained that it had accepted Amazon's commitment to pre-select only the free delivery option in the future and to compensate those consumers who complained about this conduct in 2023.

Source: www.dailyfinland.fi

10 Comments
  1. EvaJohnson says

    It is concerning to see giant corporations like Amazon resorting to such manipulative tactics to influence consumer behavior. Consumers should always have the freedom to make informed choices without feeling pressured to make recurring purchases. The fine imposed by the Italian Competition Authority is a step in the right direction to ensure fair practices in the marketplace.

  2. OliviaSmith89 says

    It’s about time that Amazon faces consequences for their questionable practices. Consumers should always have the freedom to choose how they purchase products without being manipulated into recurring purchases. I’m glad to see the Italian Competition Authority taking a stand against these unfair practices.

  3. EmilyJohnson says

    It is concerning that Amazon has been fined for unfair commercial practices in Italy. Consumers should have the freedom to make informed choices without being misled by pre-selected options. Hopefully, this penalty serves as a reminder for Amazon to prioritize transparency and consumer rights in their online interface.

  4. Emily_87 says

    Do you think this fine is enough to deter Amazon from continuing such practices in the future?

    1. Max_Riley says

      Well, Emily_87, while the $10 million fine might seem substantial, Amazon is a massive corporation with significant resources. To truly deter them from repeating such practices, regulatory bodies would likely need to impose even stricter penalties. This fine could be seen as a warning shot for Amazon to reassess its business practices, but only time will tell if it proves effective in the long run.

  5. AlexanderSmith says

    It’s commendable that the Italian Competition Authority is taking a stand against Amazon’s shady practices. Consumers deserve the freedom to make informed decisions without manipulative tactics. Hopefully, this fine serves as a warning to other big corporations engaging in similar practices.

  6. MeganJohnson says

    How can Amazon defend its actions regarding the pre-set purchase options? Are there any measures in place to prevent such practices in the future?

    1. ChrisDavis says

      Amazon can argue that they designed the interface to enhance user experience, but the fine signifies a need for transparency and free choice. Implementing stricter oversight and clear opt-in processes can prevent such occurrences in the future.

  7. EmilyWilliams says

    I think it’s great that Italy is taking action against Amazon for these unfair practices. It’s important for consumers to have the freedom to make their own choices without being manipulated by pre-set options. Hopefully, this fine will serve as a warning to other companies engaging in similar practices.

  8. EmilySmith94 says

    Do you think Amazon will change its practices after being fined by Italy, or will they continue with the same business model?

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