Two States Are Reportedly Looking Into How Amazon Treats Sellers It's under investigation in California and Washington, according to sources.

By Mariella Moon Edited by Jessica Thomas

This story originally appeared on Engadget

Andrei Stanescu/Getty Images via engadget

Amazon's business practices are under investigation in two states, according to The Wall Street Journal and The New York Times. California and Washington state investigators have reportedly been looking into how the company treats third-party sellers, particularly whether it's using the data it collects to compete directly against them. The Times says the Washington attorney general's office is also investigating whether Amazon is making it difficult for sellers to list their products on other websites.

WSJ reported back in April that the e-commerce giant scooped up data from its sellers — product information such as prices, total sales and how much vendors spend on marketing and shipping — to launch competing products under its private label division. In response to that report, US Senator Josh Hawley requested for a criminal antitrust investigation into the claims and the House Judiciary Committee called on Jeff Bezos to testify before Congress.

We've reached out to Amazon for a statement. Meanwhile, both spokespersons for California's and Washington's attorney general offices refused to confirm or deny any investigation when NYT asked. If the offices truly are looking into Amazon's business practices, though, then they're following in the footsteps of the European Commission. The EC reportedly spent a year investigating the company's business practices, and according to WSJ, it will soon formally file antitrust charges against the e-commerce giant for using third-party seller data to compete against them.

Mariella Moon is an associate editor at Engadget.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Side Hustle

This 24-Year-Old's Creative Side Hustle Surpassed $1 Million in Sales: 'Definitely Doing Something Right'

Content creator and actor Alyssa McKay saw the perfect opportunity to innovate.

Leadership

5 Entrepreneurial Reasons to Embrace Philanthropy

Discover how embracing philanthropy can boost your business, foster goodwill and drive meaningful impact in your entrepreneurial journey.

Money & Finance

Preserving My Legacy — How I Secured My Family's Financial Future Through a Trust

A trust isn't just a legal tool for the ultra-wealthy — it's a strategic way to ensure your loved ones benefit from your hard work.

Growing a Business

4 Ways Content Can Make or Break Your Customer Experience

When efforts to modernize customer experience focus too much on technology and not enough on content, your company risks wasting resources, falling behind the competition and losing customers.

Leadership

6 Ways to Build a Legacy of Leaders Within Your Workforce

Cultivating leaders within your organization is essential for sustainable growth, strong company culture and personal fulfillment. Here are six actionable strategies to empower future leaders

Business News

'Don't Believe Everything You Read': Jeff Bezos Slams $600M Wedding Rumors

Amazon founder Jeff Bezos denied the rumors himself on X.