Amazon faces EU antitrust charges over its use of merchant data

BRUSSELS: Online retail giant Amazon is set to face EU antitrust charges on Tuesday over its use of merchant data, a person familiar with the matter said as EU antitrust chief Margrethe Vestager takes aim at another American technology giant.

The European Commission has been investigating Amazon's dual role - as a marketplace for merchants and also a rival seller - since July last year, triggered by complaints from traders about the company's practices.

The investigation also focuses on how Amazon uses competitively sensitive merchant data to select winners for its "buy box", which allows customers to add items from a specific retailer directly into their shopping carts.

Vestager will send a statement to Amazon outlining her charges, the person said. She has scheduled a 1230 CET (1130 GMT) news conference, without specifying the subject.

The European Commission declined to comment.

Sources had told Reuters last month that she might narrow her case to speed up the investigation.

Amazon can ask for a closed door hearing to defend itself. An EU decision could come next year.

The charges come as the COVID-19 pandemic has amplified Amazon's role in the global economy, with online sales soaring.

Vestager has a reputation of being one of the world's toughest antitrust regulators. Under her watch, the EU has imposed large fines on Alphabet's Google and other companies.

The crackdown on Big Tech's power has also spread to the United States, where the Trump administration last month filed a historic monopoly lawsuit against Google.