On Tuesday, Nov. 23, the Italian Competition Authority (ICA) fined Apple and Amazon $225 million in an ‘antitrust’ lawsuit.
According to the ICA, the two corporations’ conduct violated European Union standards and harmed pricing competition.
The fine is for Beats headphones, which Apple purchased for $3 billion in 2014.
According to the BBC, per a 2018 deal between the internet titans, just a few resellers can offer their products on the Italian Amazon website.
The ICA has also requested Apple and Amazon to remove the limitations and enable resellers access in a “non-discriminatory manner.”
Apple and Amazon have both stated that they will appeal the penalty.
“We reject the ICA’s suggestion that Amazon benefits by excluding sellers from our store, since our business model relies on their success.” Amazon claimed according to the New York Post.
According to the company, the agreement in question led to “better deals and faster shipping” and “more than doubled” the catalog of products available to Italian customers.
Meanwhile, Apple said, “but believe we have done nothing wrong”, adding that it respects the ICA.
Customers will be safer thanks to Apple’s partnership with certain resellers, according to the company. As a result, the product is guaranteed to be authentic.
“Non-genuine products deliver an inferior experience and can often be dangerous,” Apple stated. “To ensure our customers purchase genuine products, we work closely with our reseller partners and have dedicated teams of experts around the world who work with law enforcement, customs and merchants to ensure only genuine Apple products are being sold.”