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Amazon Scores Initial Victory in Legal Battle with EU Regulators

 |  September 28, 2023

In a recent courtroom clash, Amazon emerged victorious in the initial skirmish against European Union regulators, who had singled out the tech giant as one of the companies subjected to heightened scrutiny under the EU’s stringent new content moderation regulations.

The turning point came with an order issued late on Wednesday by the president of the EU’s General Court, which partially suspended the European Commission’s decision from April, reported Bloomberg. This decision had mandated Amazon to divulge a comprehensive database detailing the advertisements it receives, encompassing information regarding their content, the brand name or subject, and the identities of those responsible for payment.

Amazon’s legal maneuvering began in July when it challenged the EU’s classification of the company as a “very large online platform” (VLOP) under the Digital Services Act, a classification it shares with market rivals like Google Shopping and Alibaba. Shortly thereafter, the Luxembourg-based court issued a temporary order that fully suspended the EU’s initial designation. The recent court order effectively supersedes this earlier ruling.

Read more: Amazon Challenges EU’s ‘Large Online Platform’ Law

In response to the court’s decision, Amazon issued an emailed statement expressing its approval, stating, “We welcome this decision as an important first step that supports our broader position that Amazon doesn’t fit the description of a ‘Very Large Online Platform’ (VLOP) under the DSA, and therefore should not be designated as such. We look forward to working closely with the EC with regard to Amazon’s other obligations under the DSA.”

The EU introduced the groundbreaking Digital Services Act last year, driven by concerns over the perceived failure of powerful tech companies to combat illicit content on their platforms. These new regulations mandate that online marketplaces, including Amazon, must identify and trace sellers on their platforms, implement mechanisms for users to report illegal content, and conduct random checks to detect illegal products.

Source: BNN Bloomberg