CNMC investigates Apple and Amazon

The CNMC (National Commission of Markets and Competition) launches a sanctioning file against Apple and Amazon for possible practices restricting competition

• Both groups could have agreed to trade restrictions on the Amazon website in Spain.

• They would have affected the retail sale of Apple products by third parties and the advertising of competing Apple products.
• The behaviors could reduce competition in the Internet retail market for electronic products.
• Furthermore, they could strengthen Amazon's position in the sector of providing marketing services to third-party retailers through online platforms (Marketplace) in Spain.

The CNMC has initiated disciplinary proceedings against the companies: Amazon Services Europe S.À.RL; Amazon Europe Core S.À.RL; Amazon EU S.À.RL; and Amazon Online Spain, SL (jointly referred to as "Amazon"); and against Apple Distribution International Ltd .; Apple Retail Spain, SL; and Apple Marketing Iberia, SA (jointly referred to as “Apple”), for possible anti-competitive practices in the areas of Internet sales of electronic products and the provision of marketing services to third-party resellers through online platforms (Marketplace) in Spain. 

The CNMC has had access to some information from which it can be deduced the existence of rational indications of the commission by Amazon and Apple of a violation of articles 1 of Law 15/2007, of 3 July, on the Defense of Competition (LDC) and 101 of the Treaty on the Functioning of the European Union (TFEU).

Specifically, the possible illegal conduct would consist of an agreement between the two groups that would include possible restrictions on the Amazon website in Spain (https://www.amazon.es/) in relation to:

(i) The retail sale of Apple products by third parties;
(ii) Certain advertisements for competing Apple products and certain campaigns directed to Apple customers by Amazon; 
(iii) Other Trade Restrictions.

The conduct investigated could limit competition in the areas of Internet sales of electronic products and the provision of marketing services to third party retailers through online platforms (Marketplace) in Spain. 

The opening of this file does not prejudge the final result of the investigation. A maximum period of 18 months is now open for the investigation of the file and for its resolution by the CNMC.

Source: CNMC