A deal between Apple and Amazon to sell the technology giant's products on the e-commerce platform has come under scrutiny by federal regulators, according to media reports.
The Federal Trade Commission (FTC) is reportedly investigating the agreement for its impact on small resale suppliers that sell discounted and refurbished Apple products.
"Apple does have certain rights as a seller, but rights aren't unlimited," Joel Mitnick, an antitrust attorney and former FTC lawyer told Cheddar on Tuesday, stressing that any coordination between Apple and Amazon to undercut low-cost sellers would be illegal.
The Verge first reported the probe last week, citing a reseller who was interviewed by investigators.
"The FTC does not confirm the existence of investigations or comment on them," the agency told Cheddar.
Apple ($AAPL) and Amazon ($AMZN) first inked the deal in November last year to increase sales and limit the proliferation of fake products, or those falsely advertised as coming from Apple itself.
The issue is whether there is a "conspiracy that is really aimed at discounters," Mitnick said. "It raises the question of monopolization."
The FTC's reported inquiry comes as the government has become increasingly willing to investigate — and crack down on — major technology companies for privacy and antitrust violations.
In February, the FTC's Bureau of Competition announced the formation of a Technology Task Force that would be dedicated to monitoring and investigating competition in the U.S. technology sector.
"It makes sense for us to closely examine technology markets to ensure consumers benefit from free and fair competition," Joe Simons, the FTC's chairman, said in a statement at the time. "Our ongoing Hearings on Competition and Consumer Protection in the 21st Century are a crucial step to deepen our understanding of these markets and potential competitive issues. The Technology Task Force is the next step in that effort."
The Tony Awards on Sunday lured 4.85 million viewers to CBS, its largest broadcast audience in six years. CBS says Monday that Nielsen data shows the telecast — hosted by “Wicked” star Cynthia Erivo — scored a 38% increase over last year’s 3.53 million viewers. That’s the largest audience for the Tonys since 2019, when the telecast that year nabbed 5.4 million viewers and “Hadestown” was crowned best new musical. The latest version also had to compete with the second game of the NBA Finals, between the Thunder and Pacers,
After stumbling out of the starting gate in Big Tech’s pivotal race to capitalize on artificial intelligence, Apple tried to regain its footing Monday during a developers conference that focused mostly on incremental advances and cosmetic changes in its technology.
Six weeks before UnitedHealthcare CEO Brian Thompson was gunned down outside a Manhattan hotel last December, Luigi Mangione mused about rebelling against “the deadly, greed fueled health insurance cartel” and expressed that killing the executive “conveys a greedy bastard that had it coming."
Shaquille O’Neal and Allen Iverson once clashed on the court in the 2001 NBA Finals, but now the basketball legends are joining forces to revive the Reebok brand they helped make iconic.
Midea is voluntarily recalling about 1.7 million of its popular U and U+ Smart air conditioners because pooled water in the units may not drain fast enough, leading to mold growth.
