The U.Okay.’s competitors watchdog mentioned Friday it has accepted proposals from Meta’s Facebook and Amazon that are supposed to stop the tech giants from abusing their dominance to achieve an unfair benefit within the on-line market.
Based on a Nov. 2 TechCrunch report, the Competitors and Markets Authority mentioned Fb’s father or mother firm, Meta, has agreed to restrict the way it makes use of information gathered from promoting on Fb to spice up its Fb Market classifieds service. Amazon additionally made commitments to permit unbiased sellers on its platform to decide on their very own supply companies, the CMA mentioned.
The probe into Fb’s leveraging started final 12 months
The regulator opened a probe into Fb final 12 months amid concern that the social media firm was unfairly leveraging its dominance to beat competitors within the on-line categorized adverts market. The watchdog mentioned Fb agreed to make modifications to handle its considerations, together with a software permitting different corporations to choose out of Fb utilizing their information to enhance companies that compete with theirs.
“Meta will implement technical programs to stop using sure competitor promoting information” when working Fb Market, the CMA wrote in a statement. Amazon mentioned it might give sellers on its platform a selection of supply companies for Prime members and guarantee they’ll negotiate their very own costs with supply companies.
These U.S. tech giants could face extra unfair competitors probes
The European Union, the U.Okay., and the U.S. are all additionally contemplating new guidelines to curb the facility of massive tech corporations.
The CMA opened its probe into Amazon final 12 months amid considerations it was abusing its dominance in e-commerce to undermine rivals in some markets, equivalent to third-party sellers, groceries, and “purchase packing containers.” However investigators now say they’ve secured sufficient new assurances from Amazon that it’ll modify its enterprise practices to place an finish to their probe with out issuing any fines. The regulator mentioned it has not reached a conclusion on whether or not both firm broke competitors guidelines.
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