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TechCrunch reports that Amazon will no longer prohibit vendors that sell on its Marketplace platform from selling their products at lower prices on competing platforms.

The story notes that “Amazon’s price parity provisions gave it a competitive edge, but because of its size, also led to concerns about its impact on competition and fair pricing for consumers.” The decision to ends the policy “comes three months after Sen. Richard Blumenthal urged the Department of Justice to open an antitrust investigation into Amazon’s policies and a few days after Democratic presidential candidate Sen. Elizabeth Warren announced she would make breaking up Amazon, Google and Facebook a big part of her campaign platform.”
KC's View:
As much as I disagree with Warren’s breakup proposal, it has to be acknowledged, I think, that even radical arguments can have the effect of creating discussions that can result in positive change. Amazon’s vendor pricing requirements strike me as being unfair and anti-competitive, and eliminating them is good for shoppers and removes an unfortunate shackle that prevented vendors from being aggressively competitive.