UK Regulator Opens Probe Into Amazon, Google Over Fake Reviews
25 June 2021 - 4:56PM
Dow Jones News
By Joe Hoppe
The U.K.'s markets regulator said Friday that it has opened a
formal probe into Amazon.com Inc. and Alphabet Inc.'s Google over
concerns they haven't been doing enough to address fake reviews on
their sites.
The Competition and Markets Authority said that in its next
phase of work it will gather more information to determine whether
the firms have broken consumer law by not taking enough action to
protect shoppers from fake reviews for online products.
Amazon and Google didn't respond to requests for comment.
The CMA's decisions follows an initial investigation, opened in
May 2020, assessing several platforms' internal systems and
processes for spotting and dealing with fake reviews. The work
raised concerns that Amazon and Google weren't doing enough to
detect fake and misleading reviews and suspicious behavior,
investigate and promptly remove fake reviews, or impose adequate
sanctions on reviewers or businesses to deter them.
The CMA also said it was concerned Amazon's systems were failing
to adequately stop or deter sellers from manipulating product
listings--like co-opting reviews from other products.
"It is important that these tech platforms take responsibility
and we stand ready to take action if we find that they aren't doing
enough," CMA Chief Executive Andrea Coscelli said.
The regulator said it hasn't reached a view on whether the
companies have broken the law at this stage.
Write to Joe Hoppe at joseph.hoppe@wsj.com
(END) Dow Jones Newswires
June 25, 2021 02:47 ET (06:47 GMT)
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