Read time: 2 minutes

In Under 2 Minutes, Warren Explains The Problem With Amazon

The problem is owning the pipeline AND the product.

Whether or not she is a successful candidate for president, Elizabeth Warren is already The Economics Professor-in-Chief. Here she explains to Ali Velshi in under two minutes, why Amazon is guilty of unfair business practices:

ELIZABETH WARREN: So think of a company like Amazon. You know, everybody goes to buy and sell on Amazon. That's the platform. And then Amazon does something really special. They not only run the platform. They gather information from every one of those transactions: every buyer, every seller. And then they discover that Pete's Pet Pillows is making a big profit and Amazon looks at that and says, 'Hmm, we could do that.' So what do they do? They jump in front of Pete's pet pillows, move Pete back to page 6 on your search, jump in and take the profits for themselves. Now, my view on this is you can be the umpire. That is, you can run the platform, or you can have a team in the game. That is, you can be one of the competitors buying and selling on that platform. But you don't get to do both at the same time. Because if you're doing both at the same time, it's wiping out competition. It's why a lot of investors now in tech, the early investors, they refer to the zones around companies like Amazon and Google. They call it "the dead zone" because it means somebody starts to grow a business in there, then Amazon, Google, Facebook just reaches out and snatches up the business. And that's not -- that doesn't promote competition. So I think they ought to be broken apart. Run that platform. You can still go online and search for 28 coffeemakers that can be delivered in 24 hours. But break that up from the part about running a business that competes on that platform.

Can you help us out?

For 16 years we have been exposing Washington lies and untangling media deceit. We work 7 days a week, 16 hours a day for our labor of love, but with rising hosting and associated costs, we need your help! Could you donate $20 for 2020? Please consider a one time or recurring donation of whatever amount you can spare, or consider subscribing for an ad-free experience. It will be greatly appreciated and help us continue our mission of exposing the real FAKE NEWS!

More C&L Coverage


NOTE: We will be changing to a new commenting platform in the next couple of weeks. We will supply more details as we get closer to the change. We understand some users are having problems with comments loading and this will hopefully remedy that problem

We welcome relevant, respectful comments. Any comments that are sexist or in any other way deemed hateful by our staff will be deleted and constitute grounds for a ban from posting on the site. Please refer to our Terms of Service (revised 3/17/2016) for information on our posting policy.