A federal judge in Washington has ruled that the Federal Trade Commission (FTC) can continue its landmark antitrust lawsuit against Amazon, marking a significant legal challenge for the e-commerce giant. The ruling, issued by Judge John H. Chun and unsealed on October 7, 2024, allows the FTC and 18 states, along with Puerto Rico, to present their case that Amazon is abusing its market position to inflate prices and suppress competition.
The lawsuit, initiated in September 2023, stems from a comprehensive investigation into Amazon's business practices. While the judge dismissed some claims from specific states, he permitted the majority of the federal and state allegations to move forward, setting the stage for a trial scheduled for October 2026.
FTC spokesperson Doug Farrar expressed satisfaction with the ruling, emphasizing that the trial will reveal how Amazon's practices have harmed competition and consumers. In contrast, Amazon has maintained its confidence in proving its innocence in court, arguing that the FTC's claims misrepresent consumer behavior and could lead to higher costs for shoppers.
This case is part of a broader trend of increasing scrutiny on major tech companies, with the FTC also pursuing legal action against Meta Platforms, and the Department of Justice taking steps against Apple and Google for similar antitrust concerns.
The outcome of this lawsuit could have far-reaching implications for Amazon, the tech industry, and consumer prices globally.