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Amazon's $2 trillion empire faces FTC fire as antitrust battle heats up

By SellerBites
March 11, 2025


Just in time for International Women’s Month—Amazon is leveling the playing field. Through a new partnership with Youth4Jobs, women with disabilities are getting the tools to thrive in ecommerce. Empowerment, meet opportunity.

Here’s what else is making waves today:

  • Amazon's $2T empire vs. the FTC 🔥
  • How to go from $0 to $1M 💰
  • China-based marketplaces just scored big ⏳
  • How to stop impersonation scams 🚨

HOT TOPIC

ICYDK, the FTC sued Amazon in 2023, accusing the retail giant of unfair, monopolistic behavior. 

The Seattle Times reported that both sides met on March 7, in a Seattle courtroom. This hearing set the stage for a bigger debate: Is Amazon a monopoly? And if so, what should be done about it?

🛍️ Competition—or lack thereof?

One of the big questions the court tackled was defining Amazon’s competition.

  • FTC: Amazon might not have any real competitors in its key markets. If Amazon raises prices and customers don’t jump ship, does that mean they have no choice?
  • Amazon: They compete with everyone—from Walmart and Target to Shopify and UPS. Amazon insists the FTC is using too narrow a definition of the market.

🛒 The "cellophane fallacy"

  • FTC: If Amazon already controls the market, shoppers might have no choice but to adapt to the inflated prices.
  • Amazon: The retail giant argues that its success is simply the result of better prices and services, not monopolistic control.

🔎 The bigger picture

  • FTC: Any consumer benefits Amazon provides come from anticompetitive practices that limit long-term market growth.
  • Amazon: Growing competitors like Temu and Shein as proof that the market is still competitive. 

Some are already comparing this case to Microsoft’s historic antitrust battle, where the FTC claimed Microsoft blocked competition before it could even take off. 

Now, Amazon is facing similar scrutiny.

⏳ What’s next?

With the trial set for October 2026, expect more big revelations as both sides bring in economists to support their claims. 

For sellers, the stakes are high—this case could shape how Amazon operates, from seller fees to marketplace competition, for years to come.

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BITES OF THE WEEK

  • Stay ahead in eCommerce! Get top news, expert insights & marketing tips—curated & delivered twice a week. No fluff, just what matters. Sign up here.
  • Businesses for California: Many retailers are stepping up for victims of the California wildfires - Amazon businesses among them.
  • Companies for AI: Read this to know the percentage of companies using AI and how.
  • Robots of Amazon: Amazon has more than 750k robots. Meet the 8 models that innovate Amazon.

ACTIONABLE ADVICE

How to make YOUR first $1 million in Amazon

Amazon success isn’t just about listing products—it’s about strategy. 

Dr. Jenny Woo, who made over $1 million from Amazon alone, shared her top insights with CNBC Make It. If you’re looking to scale your store, here’s what you need to know:

  • Know your numbers. Profit isn’t just sales minus expenses—it’s about strategy. A good profit margin sits around 20%, but many sellers fail to track their true costs—like shipping, advertising, and time. 📊
    • Dr. Woo’s advice: Run the numbers before you run the store.
  • Avoid profitability traps. Sellers often fall into three major traps:
    • Underpricing: Chasing sales with low prices makes it hard to break even.
    • Doing it all: Trying to handle everything solo can lead to burnout. ⚠️ 
    • Undervaluing time: Not factoring in opportunity costs limits long-term growth.
  • Play the long game. What’s your goal? Whether it’s financial freedom or turning your side hustle into a full-time business, profitability isn’t just about numbers—it’s about building a business that works for you. 🏆

Many sellers have turned Amazon into a six- or even seven-figure income stream. With the right strategy, you can too.

But remember, success doesn’t happen overnight—every smart decision brings you one step closer. 🪜

ECOMMERCE NEWS

Shein and Temu just scored a double win—but for how long?

It’s not every day that a policy shift gives two companies a massive advantage—but that’s exactly what happened with Shein and Temu.

The de minimis exemption, which allows imports under $800 to bypass tariffs, was set to end. However, after a temporary pause by the Trump administration, the rule remains in place—for now.

According to Business Insider, this means these two China-based giants just dodged a financial bullet.

  • Skipping tariffs while others pay up. 💸
    • Most China-based manufacturers and U.S. businesses that source from China now face a 20% tariff, making imports more expensive. 
    • Shein and Temu can still ship duty-free.

🔄 More than just a lucky break

While this policy pause gives them short-term relief, both companies have been preparing for change. They’ve diversified their supply chains and increased local fulfillment to reduce reliance on de minimis.

👀 Eyes here: Trade regulations are always shifting, and sellers who rely on cross-border fulfillment need to stay ahead of potential changes

BLACK MARKET

How to spot (and stop) brand impersonation scams

Brand impersonation scams are running wild, and online sellers are taking the hit. Fraudsters are cloning product listings, logos, and even customer service channels to trick shoppers into buying fake goods.

🔒 Retail TouchPoints listed ways to protect your brand:

  • Get into Amazon Brand Registry. This gives you more control over your listings and intellectual property.
  • Lock down distribution. Set clear terms in your agreements to limit who can sell your products.
  • Watch for fake websites. Use trusted tools to check suspicious links and spot imposters. 🔎
  • Know Amazon’s IP enforcement rules. This helps you report fraudulent listings fast.
  • Educate your customers. Help them identify counterfeits so they can shop with confidence.

Scams aren’t slowing down, but staying proactive can keep your brand safe. Stay vigilant, take action, and protect what you’ve built. 🛡️

Author : SellerBites

Faith began working on SellerBites in 2021, a weekly newsletter that provides sellers with the latest news and updates in FBA. With first-hand experience in managing various seller and vendor accounts, she understands what sellers face on this platform. Her background led to the conception of SellerBites, which main goal is to help people become better, more informed entrepreneurs in the Amazon marketplace.


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