The German competition authority hit Amazon with a €59 million fine on Thursday after finding the e-commerce giant’s pricing rules for third-party vendors to be in breach of national and EU competition rules.
The authority determined that Amazon’s practices, and in particular its use of algorithms to influence pricing by sellers and the enforcement of its Fair Pricing Policy, are in breach of Germany’s digital dominance rules as well as EU competition law.
“Amazon competes directly with marketplace sellers on its platform and influences the prices of its competitors, including through price caps, which is problematic from a competition standpoint,” Andreas Mundt, president of the Federal Cartel Office, or Bundeskartellamt, said in a statement.