Amazon responds to a new bill designed to stop ranking manipulation

Amazon responds to a new bill designed to stop ranking manipulation

Amazon has launched a critical response to new US legislation aimed at limiting the ability of large companies to promote their own brand on third-party products.

The 22-page “American Online Choice and Innovation Act” lays out a series of recommendations intended to prevent e-commerce platforms from favoring their own products on their websites.

However, Brian Huseman, Amazon's vice president of public policy, said in a recent statement that the bill "jeopardizes two of the things American consumers love most about Amazon: the wide selection and the lowest prices." that are possible thanks to the opening of our store to third parties". party retail partners and the promise of fast, free shipping through Amazon Prime.”

What does the bill say?

The Bill announces that it is unlawful "to favor the Covered Platform Operator's products, services or lines of business over those of another Business User on the Covered Platform" in a manner that materially prejudices competition."

Sponsored by senators like Amy Klobuchar and Chuck Grassley, the bill was touted as a way to protect small businesses.

The bill appears to be aimed squarely at a company, as it only applies to parties whose "US annual net sales exceed €550 billion, adjusted for inflation based on the 13 index" of consumer prices, excluding extremely large competitors like Walmart. and target.

Amazon says the "loosely worded" bill would require allowing other fulfillment providers to fulfill Prime orders.

This could be good news for businesses that are currently underserved by Amazon's eCommerce hosting scheme. However, the e-commerce giant argued that if “the legislation becomes law, it would significantly degrade the value and quality of Prime, as many products sold in our store today promise one or two days of Prime delivery. could not be delivered. In this sense. Time interval".

Senators are due to vote on the bill within the next month.