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The
legal action, which would follow federal lawsuits filed against
Alphabet's Google and Meta's Facebook, has been expected after
years of complaints that the big tech companies abused their
dominance. Amazon.com, for example, has been accused of buying
competitors to thwart competition and abusing third-party
sellers on its platform, among other allegations.
The FTC has sent a draft complaint to the states trying to get
them to sign on, a source told Reuters, a step that generally
indicates a lawsuit is close to being filed.
Amazon did not immediately comment. The FTC declined to comment.
The exact details of the pending lawsuit were not known.
The American tech giant has been criticized for allegedly
favoring its own products and disfavoring outside sellers on its
platform. The company has denied the allegations.
FTC chairperson Lina Khan authored a Yale Law Journal article in
2017, in which she said Amazon's structure and practices posed
anticompetitive concerns and has escaped antitrust scrutiny.
(Reporting by Urvi Dugar and Yuvraj Malik in Bengaluru; Editing
by Shilpi Majumdar and Chizu Nomiyama)
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