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submitted 1 month ago* (last edited 1 month ago) by Beep@lemmus.org to c/technology@lemmy.world

California Attorney General Rob Bonta last night filed a request for a preliminary injunction in California’s existing case against Amazon for price fixing. Attorney General Bonta’s 2022 lawsuit alleged that the company stifled competition and caused increased prices across California through its anticompetitive policies in order to avoid competing on price with other retailers. New evidence paints a clearer and more shocking picture. The motion for a preliminary injunction comes after a robust discovery process where California uncovered evidence of countless interactions in which Amazon, vendors, and Amazon’s competitors agree to increase and fix the prices of products on other retail websites to bolster Amazon’s profits. Time and again, across years and product categories, Amazon has reached out to its vendors and instructed them to increase retail prices on competitors’ websites, threatening dire consequences if vendors do not comply. Vendors, bullied by Amazon’s overwhelming bargaining leverage and fearing punishment, comply — agreeing to raise prices on competitors’ websites (often with the awareness and cooperation of the competing retailer), or to remove products from competing websites altogether. Amazon’s goal is to insulate itself from price competition by preventing lower retail prices in the market at the expense of American consumers who are already struggling with a crisis of affordability.

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[-] WesternInfidels@feddit.online 9 points 1 month ago

There was a time when Amazon was not full of scummy rip-off products, when it was not playing games with prices, when it was not a cloud-computing powerhouse, and you know what happened?

That's right, they crushed their adversaries (retail shopping) and earned billions in profits. They won.

But somehow that's not enough winning, there isn't enough winning until all the value has been vacuumed up from the world.

[-] MnemonicBump@lemmy.dbzer0.com 9 points 1 month ago

Bezos explicitly undercut the competition for years to drive all of the competition out of business. Amazon took as much time from 1997-2016 to make as much profit as they did in 2017, which is also (not) coincidentally when they hit peak market saturation and were able to start raising their prices.

So what you're talking about was real, but it wasn't like, "back when Amazon was good", they were just preparing for what they are now. Having a huge monopoly on just about everything has always been their win condition, and they're no where near done winning.

[-] octobob@lemmy.ml 7 points 1 month ago

Yeah. It's the same thing Uber did with pushing cab services out of business.

Not only that, but AWS is the real money maker for them. Not that retail and gaming and prime and whatever don't also make boat loads of cash, but it doesn't even graze AWS. The scale of these data centers is unreal and most of the internet runs on AWS.

I'm an industrial electrician with background on what they're ordering and installing in terms of control panels and if you saw the weekly shipments it'd make you sick. And we're only one supplier, they have others.

[-] Sineljora@sh.itjust.works 3 points 1 month ago

I think it’s worse because Bezos (ex-wallstreet) had his buddies at Bain Capital short-and-distort competing companies into bankruptcy, which has the added bonus of clearing the tax burden from the gains on those shorts.

[-] defaultusername@lemmy.dbzer0.com 1 points 1 month ago

AKA the Walmart method.

[-] kescusay@lemmy.world 0 points 1 month ago

And that is why I no longer buy anything from them. I'm just embarrassed it took me as long as it did to realize what they were really doing.

[-] floofloof@lemmy.ca 2 points 1 month ago

The frustrating thing is we can't boycott AWS since so many of the sites we use run on it. But yes, we absolutely shouldn't buy things through Amazon or any of the other web stores Amazon owns.

[-] frunch@lemmy.world 1 points 1 month ago

we absolutely shouldn't buy things through Amazon or any of the other web stores Amazon owns.

I try to use eBay as an alternative, though i find every 3-4 orders i place there, i get one in an Amazon box that by all rights appears to have been shipped by Amazon. I swear people are drop-shipping stuff from Amazon to their eBay buyers.

[-] FiskFisk33@startrek.website 1 points 1 month ago

It's easy to crush the competition when you purposely take a loss as an investment in future market share.

[-] artyom@piefed.social 1 points 1 month ago

Ehhh not really. They operated at massive losses for a decade or more to eliminate the competition while growing their customer base. This is simply stage 1 of enshittification. You can only do this if you're unbelievably filthy fucking rich. Then at some point they needed to cash out on all the good will and reputation they developed and that brings us to the shithole economy of today where people are simply too lazy to shop anywhere else.

[-] pomegranatefern@sh.itjust.works 1 points 1 month ago

The other commenters here are right about Amazon's initial methods, but I'm also going to highly recommend Cory Doctorow's Enshittification for a detailed explanation of how this happens (including a breakdown on Amazon specifically) and what to do about it.

[-] Entropy_Pyre@lemmy.ca 1 points 1 month ago

To quote a favorite singer of mine,

You could fill a man with gold, and still have room for greed.

this post was submitted on 25 Feb 2026
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