Amazon Cloud Unit Draws Antitrust Scrutiny From Khan’s FTC

Bloomberg2021-12-23

Federal investigators have contacted companies about AWS unit Outreach shows probe is active under FTC’s new leadership Lina KhanPhotographer: Graeme Jennings/Washington Examiner/Bloomberg The U.S. ...

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HelloKitty55
2021-12-23
HelloKitty55
Ok
JPHC
2021-12-23
JPHC
Waiting for dip....
MuppyKoh
2021-12-23
MuppyKoh
Please like
- Blokespot:
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Huatahhuat
2021-12-23
Huatahhuat
Tsk
卖女孩的小火柴v
2021-12-23
卖女孩的小火柴v
Ok
SSSG
2021-12-23
SSSG
Ok

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At least one of the contacts was as recent as the past few weeks, said one of the people.\nThe focus on Amazon’s $16 billion cloud business, which brings in most of the e-commerce giant’s profit, comes as Khan has set her sights on conduct by the biggest U.S. tech companies. Khan, a former Columbia Law School professor, rose to prominence in antitrust circles warning about the threats companies like Amazon pose to competition in the digital economy.\nAmazon fell almost 1% to $3,381 in New York after Bloomberg reported the news before closing higher at $3,420.74.\nOne issue the FTC could look at is whether Amazon has an incentive to discriminate against software companies that sell their products to clients of AWS, while at the same time competing with Amazon. The fear is that Amazon could punish the companies that work with other cloud providers and favor those that it works with exclusively.\nThe FTC’s investigation of Amazon began during the Trump administration under former chairman Joe Simons. The agency has pursued inquiries about Amazon’s retail business as well as the cloud division, Bloomberg has reported. The renewed outreach to companies shows the probe is active.\nAmazon has provided information to the FTC in response to the agency’s requests, according to a person familiar with the matter.\nAmazon and the FTC didn’t respond to requests for comment.\nThe company filed a petition with the agency in June seeking Khan’s recusal from antitrust enforcement decisions against Amazon. The company argues that her past criticism of the company shows she is biased.\nAWS dominates the market for foundational cloud-computing technology that provides the storage and computing power needed to run applications. Amazon held 41% of the cloud-computing market in 2020, followed by Microsoft Corp.’s Azure at 20%, according to an estimate by research firm Gartner.\nAmazon also sells an array of products that run on top of those basic services, such as databases, machine-learning tools and data-warehousing products. It competes with hundreds of other software companies large and small that offer similar products.\nCloud computing companies like Amazon, Microsoft and Oracle Corp.are vying for lucrative government contracts to provide cloud services to agencies including the Defense Department and the National Security 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