Amazon and Google face UK competition probe over fake reviews

By Muzna Mishal Waseem Last updated Jun 25, 2021, 2:50 pm 52 0

June 25, 2021: The UK’s competition regulator on Friday launched a formal investigation into the concerns against Amazon and Google, which have not done enough to deal with fake reviews.

“We are investigating concerns that Amazon and Google are not doing enough to prevent or eliminate fraudulent reviews to protect consumers and honest businesses,” said Andrea Coscelli, CMA’s chief executive said in a statement.

“It’s important that these tech platforms take responsibility and we’re ready to take action if we feel they’re not doing enough.” Misleading consumer reviews have proven to be a huge problem in e-commerce, and Amazon is a major target for brands wanting to hype up their products online with fake, fake content. Last month, the company called on social media firms to help thwart unscrupulous reviews.

The Competition and Markets Authority launched a preliminary investigation into the fraudulent survey in May 2020. Earlier this year, it acquired Facebook and eBay to dismantle a number of groups and accounts that traded in fake reviews. Then, in April this year, the CMA said that Facebook had removed thousands more groups that were dealing with inaccurate and misleading reviews and to prevent the display of such content on its platforms.

On Friday, the CMA focused on Amazon and Google, saying they were reviewing whether they had done enough to detect and remove fake reviews. The investigation will also look into whether companies impose fines on reviewers or firms to prevent them from posting misleading scores. The watchdog added that it is concerned that Amazon’s systems are failing to prevent sellers from manipulating product lists, citing the example of merchants who choose positive reviews from other products.

The CMA has not yet decided whether Amazon and Google have broken the law at this stage, but has said it will take action. This is the latest in a series of digital giant investigations. Just three days ago, the European Union launched another no-confidence inquiry into Google over whether Internet search giant was supporting its online display advertising technology services.

Britain’s CMA is aiming to take a growing role in scrutinizing major U.S. tech firms after Brexit. The watchdog has been tasked by the government with setting up a new digital markets unit to police competition in the U.K.’s internet market.

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