FTC Sues Amazon for Illegally Maintaining Online Shopping Monopoly with Secret Pricing Algorithm

The FTC sued Amazon for illegally maintaining a monopoly with a secret algorithm called "Project Nessie" that raised prices across online shopping sites.

Project Nessie manipulated competitors' pricing algorithms to lock in higher prices, boosting Amazon's profits across categories.

Sources say Project Nessie generated over $1 billion for Amazon while teaching competitors that lowering prices doesn't increase sales.

Amazon allegedly stopped using Project Nessie in 2019 for unclear reasons.

The FTC aims to prove Amazon is "stifling competition on price" and impacting billions in retail sales and millions of shoppers.