Amazon and Apple paid $ 228 million in Italy for unfairly banning the sale of Beats

Italian Competition Authority (AGCM). stupid Apple and Amazon combined € 203.2 million (US $ 228 million) following an unrelated investigation into the sale of Beats products. According to an observer, the two companies signed an agreement in 2018 that would ban all legitimate and unregistered suppliers of Apple and Apple with Beats on Amazon’s Amazon page. The consortium is said to have had clauses that only allowed Amazon and selected “privately and discriminated” retailers to sell the products.

The AGCM stated in its proclamation that these paragraphs violate Article 101 of the European Union Convention. In addition, the observer said the agreement prohibits border sales, limiting consumer preferences and restricting discounts offered by other retailers. Italian Authority opened lawsuits against both companies in 2020 and re-investigated in their offices in the country.

About 70 percent of the nationwide consumer electronics purchases come from Amazon, AGCM explained, and 40 percent were purchased from retailers who use the website as their main platform. This is why it is so important for Amazon to establish the rules of Italian competition and ensure that all retailers have a problem, as well as to ensure that consumers have the opportunity to make informed choices.

AGCM imposed a fine of € 68.7 million (US $ 77 million) on Amazon and a € 134.5 million (US $ 151.2 million) fine on Apple. It also ordered the companies to lift the ban and allow the sale of Apple and Beats products to Amazon Italy “without discrimination.” In a message sent to Reuters, Amazon called the penalty imposed “unlimited and unreasonable.” Another prophet said in his words:

“We reject the idea that Amazon benefits by separating retailers from our store, as our business model depends on their success. Thanks to the partnership, Italian customers can find new Apple and Beats products in our store, double the profit margin, and sell better. and sending immediately. “

Meanwhile, Apple has denied any wrongdoing:

“To ensure our customers’ purchases are real, we work closely with our sales partners and we have dedicated teams of experts around the world who work with law enforcement, customary and retailer to ensure that Apple’s real estate is sold.”

According to Reuters, both companies are preparing to appeal the decision of supervisors.