The woes of e-commerce giant Amazon continue to grow at a rapid speed.

Amazon gets fined massively by Italian regulators here on Thursday.

The antitrust regulator authority of Italy fined Amazon 1.13 billion Euros which is $1.28 billion for ‘allegedly abusing its market dominance” in the country.

amazon Italian regulators
bbc.com

The Italian Competition Authority (AGCM) stated “Amazon had harmed competitors in the e-commerce logistics business by favoring the use of its own “Fulfilment by Amazon” (FBA) shipping service.”

The regulator alleged that the sellers on the platform of Amazon who are using the FBA service can easily obtain better visibility and prospective sales on the websites as compared to the sellers who are engaged in business while using third-party delivery platforms.

The sellers which do not opt for FBA are not even associated with the prime subscription service of Amazon. This further reduces the visibility of the platform to the sellers as well as its most loyal customers.

The regulatory agency stated that amazon discriminates between the sellers which use FBA and the ones which don’t. The sellers not associated with FBA face stringent requirements and failure of fulfillment leads to the suspension of their seller accounts.

The Italian regulation authority has ordered the e-commerce giant to take several ‘corrective measures’ and will be further scrutinized by a trustee monitoring it as the regulatory action of Italy is the latest faced by the e-commerce giant this year. The American tech company has been bombarded with different fines and regulatory actions against it since the conglomerate had trust issues with the EU and other third-party sellers.

Regulatory authorities across the world have started to raise their concerns about the dual rule of Amazon both as a marketplace and a seller action.

A spokesperson of Amazon stated that “it “strongly disagrees” with the regulator’s decision and will appeal as the proposed fines and remedies are “unjustified and disproportionate.”