Amazon to be probed by EU

11 June 2015

amazoninstant The EU are going after Amazon, investigating their business practices relating to the way they sell e-books.

There's been long grumbles about Amazon's way of doing business concerning e-books, and this probe will look at certain clauses in Amazon's contracts with publishers, which are thought to be relating to the protection Amazon get from publishers offering rivals more favourable terms.

Margrethe Vestager, heading up the EU's competition policy squad, said that she has a duty to make sure that Amazon's arrangements with publishers were not harmful to consumers, by “preventing other e-book distributors from innovating and competing effectively with Amazon."

"Our investigation will show if such concerns are justified."

Of course, the EU is already snooping around Amazon, concerning their tax arrangement in Luxembourg. As we know, some gigantic companies are paying as little as 5% in corporate taxes, while smaller companies are stumping up 30%.

A potential double whammy of fines on the horizon, if Amazon are found guilty of being thoroughly shifty. We await the outcome.

TOPICS:   Tax   World News

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