Amazon uses third-party seller data to develop competing products

Employees of the American online retailer Amazon got access to closed documentation about third-party sellers ' products to develop private-label products.

Report says, citing the Wall Street Journal, the company's management has launched an internal investigation into this matter.

According to 20 former employees of Amazon, these are divisions engaged in the development of products sold under brands assigned directly to the retailer. The newspaper emphasizes that they received closed documentation, including reports on sales and technical characteristics of the most popular products from third-party sellers. "We knew we shouldn't have done this," the newspaper quoted one of the company's former employees as saying. "Moreover, we are creating Amazon products, and we want them to sell."

In response to the publication's request, Amazon management stressed that the company had begun internal proceedings regarding the alleged use of closed documentation by employees in the development of products. "Like other retailers, we study sales statistics and store data to provide our customers with the best possible service. However, our employees are strictly prohibited from using non-public, private information from sellers to make decisions about launching a particular product."