Amazon's algorithm-driven pricing strategy led to a $1 billion profit boost

The FTC claims Amazon intentionally increased prices by over $1 billion using secret algorithms.

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Amazon allegedly developed a secret algorithm called 'Project Nessie' to identify products for which it expected other online stores to follow its price hikes.

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Amazon executives are accused of erasing messages on Signal, leading to the loss of over two years' worth of communications, defying the FTC's request.

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The FTC and 17 states jointly filed a lawsuit against Amazon, alleging antitrust violations related to price inflation, overcharging sellers, and stifling competition.

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Amazon argued that the lawsuit would result in higher prices, and slower deliveries, as it revealed its testing of competitors' pricing algorithms in the early 2010s, leading to the creation of Project Nessie.

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Amazon's algorithm-driven pricing strategy led to a $1 billion profit boost

The FTC claims Amazon intentionally increased prices by over $1 billion using secret algorithms.

Amazon allegedly developed a secret algorithm called 'Project Nessie' to identify products for which it expected other online stores to follow its price hikes.

Amazon executives are accused of erasing messages on Signal, leading to the loss of over two years' worth of communications, defying the FTC's request.

The FTC and 17 states jointly filed a lawsuit against Amazon, alleging antitrust violations related to price inflation, overcharging sellers, and stifling competition.

Amazon argued that the lawsuit would result in higher prices, and slower deliveries, as it revealed its testing of competitors' pricing algorithms in the early 2010s, leading to the creation of Project Nessie.

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