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Amazon: US Accuses Online Giant Of Illegal Monopoly

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Amazon Faces Multiple Allegations of Employee Mistreatment

The U.S. government has filed a lawsuit against Amazon, alleging that the internet giant unlawfully maintains monopoly power.

According to the Federal Trade Commission (FTC), Amazon engages in “a set of interlocking anticompetitive and unfair strategies” to increase prices and stifle competition.

Amazon stated that the lawsuit was “incorrect based on the facts and the law, and we look forward to defending ourselves in court.”

It is the most recent technology titan to be sued by U.S. authorities.

Lina Khan, the head of the FTC, has had Amazon in her sights for years.

In 2017, Ms. Khan, who was only 29 then, published a significant academic article arguing that the online retailer had evaded antitrust scrutiny.

“With its missionary zeal for consumers, Amazon has marched towards monopoly,” she stated then.

amazon

The U.S. government has filed a lawsuit against Amazon, alleging that the internet giant unlawfully maintains monopoly power.

Since her unexpected appointment as FTC Chair in 2021, this case has been widely anticipated and regarded as a crucial leadership test.

Some U.S. legislators have called for action to increase competition in online search, retail, and social media in response to the dominance of a handful of large tech companies.

However, under Ms. Khan, the FTC’s robust rhetoric against Big Tech has yielded few results.

It failed in its endeavor to prevent Meta from acquiring V.R. company Within in February.

And in July, it failed to prevent Microsoft from acquiring the Call of Duty developer.

Ms. Khan is pressured to make at least one prominent complaint stick, and the FTC has high aspirations for this case.

amazon

The U.S. government has filed a lawsuit against Amazon, alleging that the internet giant unlawfully maintains monopoly power.

Along with 17 state attorneys, the agency asserts that the company is a “monopolist” that prevents competitors and sellers from lowering pricing.

In addition, the regulator claimed Amazon’s actions “degrade quality for consumers, overcharge sellers, stifle innovation, and prevent rivals from competing fairly with Amazon.”

However, the company claims that if the “misguided” FTC lawsuit is successful, consumers will have fewer options, pay higher prices, and experience delayed delivery times.

Due to the alleged monopoly, consumers lose money and receive worse bargains, which is the central argument of the case.

U.S. anti-competition law is complex, but prosecutors must demonstrate that a company’s actions have caused financial harm to consumers.

Many of Big Tech’s services, such as Google’s search engine and Meta’s Instagram, are free, proving this is only sometimes straightforward.

Google and the United States government began a court battle earlier this month, with the government accusing Google of monopolizing advertising technology.

SOURCE – (BBC)

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EV Battery Maker Northvolt to Cut Jobs, Delays Factory in Canada

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EV battery Maker Northvolt to Cut Jobs and Delays Factory in Canada

EV Battery maker Northvolt has announced there would be a revised timeline for plant in Canada but did not provide further details. Potential revisions to these projects would be confirmed in the fall.

Northvolt will cut a large number of jobs and sell or seek partners for its energy storage and materials businesses as Europe’s leading battery hope aims to survive by refocusing on its struggling first giga-factory in northern Sweden.

The Swedish manufacturer, which has raised the most capital at US$15 billion of any other unlisted European start-up, has been significantly delayed by issues at its facility located just below the Arctic Circle. Additionally, European carmakers have slowed their plans to transition to electric vehicles.

Northvolt announced on Monday that it would cease production of cathode active materials, sell one site, and instead source materials from Chinese or Korean companies. Additionally, the company will pursue a buyer or partner for its energy storage business, which is located in Gdańsk, Poland.

The group, which is supported by Volkswagen AG, Goldman Sachs, BMW, Siemens, and BlackRock, has been experiencing a cash flow deficit. It has announced that its cost-cutting strategy will “regrettably” involve “some difficult decisions on the size of our workforce,” which is currently at 7,000 employees.

outside the Northvolt facility in Vasteras, Sweden

Northvolt EV Battery facility in Vasteras, Sweden – Reuters Image

In addition, executives have stated that the construction of three additional gigafactories, which are to be constructed in Sweden, Germany, and Canada in a joint venture with Volvo Cars, will be postponed. However, they have also stated that they will provide additional information regarding the number of employment cuts at a later date.

In late 2021, Northvolt was the first European company to produce a EV battery cell for EVs from a domestic giga-factory. However, the company has encountered difficulty in increasing production rates since then. Its giga-factory in Skellefteå has an annual capacity of 16 gigawatt hours; however, it is currently producing less than 1GWh.

BMW recently terminated a US$2 billion contract with Northvolt and instead awarded it to Samsung SDI of Korea, citing supply constraints. The slow adoption of electric vehicles has resulted in the postponement of the construction of battery facilities in Europe by Korean and Chinese organisations.

Northvolt has also encountered financial difficulties vital for the expansion of production so consequently, the company has been compelled to reduce investments and expenditures.

Northvolt, which initiated its strategic review in July, intends to concentrate on cell manufacturing in Skellefteå, which has prompted concerns regarding the future of its recycling and materials operations.

It is also deliberating on how to proceed with the significant advancement in EV battery technology for energy storage that it announced with sodium-ion batteries. These batteries do not require lithium, cobalt, or nickel, which are materials that companies have been eager to acquire.

Executives stated that Northvolt could continue to advance the sodium-ion technology in collaboration with other manufacturers, despite its pursuit of purchasers or partners for its energy storage business.

Prime Minister Justin Trudeau said the project will help build the economy of the future

Prime Minister Justin Trudeau bragged the project will help build the economy – CBC Image

Northvolt declared this year that it would establish an electric vehicle battery plant in the Quebec province of Canada for C$7 billion, or $5.17 billion. The EV Battery Manufacturer stated that the federal and provincial governments of Canada would each provide $1 billion towards the first phase of construction.

Northvolt has received investments of approximately US $1.1 billion from Canadian pension funds, including Investment Management Corporation of Ontario (IMCO), BlackRock, and Canada Pension Plan Investment Board (CPP Investments) and CDPQ.

Prime Minister Justin Trudeau of Canada has established EV manufacturing as a cornerstone of his industrial policy, providing production credits and other forms of assistance to 13 battery businesses and automakers valued at C$56 billion ($41.34 billion).

Nevertheless, a slowdown in the demand for electric vehicles has forced a number of industry players to postpone or cancel investments reaching C$46 billion ($33.96 billion).
billion).

Nevertheless, the development of EV demand has slowed, resulting in the cancellation or postponement of investments totalling C$46 billion ($33.96 billion) by numerous industry companies.

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Dunkin Donuts Boycotted After They Dump Influencer Steven Crowder

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Dunkin Donuts
people boycotting Dunkin Donuts - Getty Images

A boycott against Dunkin Donuts has begun to spread online after one influencer accused the national coffee giant of refusing to engage with him because of his right-wing ties.

The boycott began after Dunkin Donuts CEO of Rumble Chris Pavlovski tweeted that the firm intended to split ways with Steven Crowder, a conservative talk show presenter, and move away from ‘right wing culture’. Rumble is a video-sharing platform with a more conservative demographic.

The claimed emails received by Pavolvski in his tweet include messages from Dunkin Donuts , Inspire Brands, and Diageo North America expressing their opposition to appearing on the site because it is “too polarising from a brand sustainability standpoint.”

In the same tweet, Pavolvski said, “No, we do not discriminate. “All cultures are welcome on Rumble.”

Dunkin Donuts has not responded on any of its social media channels.

Many Rumble supporters stated that they are prepared to boycott the coffee chain due to their apparent refusal to appear on the platform.

Last Wednesday, a Twitter user with over two million followers shared a graphic showing #boycottDunkin trending at number two on X, formerly Twitter. The post received 11,000 retweets and 41,000 likes.

Many of the answers to Pavlovski’s initial post endorsed the concept of a boycott of Dunkin Donuts .

At least on social media, the boycott is no longer a top trend. As of Monday afternoon, #boycottDunkin is no longer trending on X, and it is not one of the Top 100 trends on TikTok.

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Internet Archive Loses Major Copyright Case Court Rejects Their Arguments

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An Internet Archive staff member t-shirt - Getty Images
An Internet Archive staff member t-shirt - Getty Images

The Internet Archive has lost a critical legal battle, potentially affecting the future of internet history. Today, the US Court of Appeals for the Second Circuit decided against the long-running digital archive, affirming a previous decision in Hachette v. Internet Archive, which determined that one of the Internet Archive’s book digitization initiatives infringed copyright law.

Notably, the appeals court’s ruling rejects the Internet Archive’s argument that its lending practices were shielded by the fair use doctrine, which permits for copyright infringement in certain circumstances, calling  it “unpersuasive.”

In March 2020, the Internet Archive, a San Francisco-based nonprofit, launched the National Emergency Library, or NEL. The epidemic had forced library closures that prevented students, scholars, and readers from accessing millions of books, and the Internet Archive has stated that it was answering to calls from common people and other librarians to assist individuals at home in obtaining the books they required.

The NEL was an extension of the Open Library, an ongoing digital lending experiment in which the Internet Archive scans physical copies of library books and allows individuals to borrow digital versions as if they were conventional reading material rather than e-books. The Open Library lent the books to one person at a time—but the NEL eliminated this ratio requirement, allowing a large number of people to borrow each scanned book at once.

Shortly after its inception, the NEL faced criticism, with some authors claiming that it amounted to piracy. In response, after two months, the Internet Archive abandoned its emergency strategy and imposed lending caps. But the harm had been done. Major publishing giants, including Hachette, HarperCollins, Penguin Random House, and Wiley, filed the complaint in June 2020.

In March 2023, the district court found in favour of the publishers. Judge John G. Koeltl determined that the Internet Archive had created “derivative works,” claiming that its copying and lending had “nothing transformative” to offer. Following the initial verdict in Hachette v. Internet Archive, the parties reached an agreement, the specifics of which have not been released; however, the archive has filed an appeal.

According to James Grimmelmann, a professor of digital and internet law at Cornell University, the ruling is “not terribly surprising” in light of recent court interpretations of fair use.

Internet Archive won the appeal

The Internet Archive won the appeal, but only narrowly. Although the Second Circuit upheld the district court’s first decision, it underlined that it did not regard the Internet Archive as a commercial business, emphasising that it was clearly a charitable organisation. Grimmelmann believes this is the appropriate decision: “I’m glad to see that the Second Circuit fixed that mistake.” (He joined an amicus brief in the appeal, saying that classifying the use as commercial was incorrect.)

“Today’s appellate decision upholds the rights of authors and publishers to license and be compensated for their books and other creative works, and reminds us in no uncertain terms that infringement is both costly and antithetical to the public interest,” Association of American Publishers president and CEO Maria A. Pallante said in a statement.

“If there was any doubt, the Court makes clear that under fair use jurisprudence there is nothing transformative about converting entire works into new formats without permission or appropriating the value of derivative works that are a key part of the author’s copyright bundle.”

In a statement, Internet Archive director of library services Chris Freeland expressed dismay with “today’s opinion about the Internet Archive’s digital lending of books that are electronically available elsewhere.” We are reviewing the court’s decision and will continue to defend libraries’ right to own, lend, and preserve books.

Dave Hansen, executive director of the Author’s Alliance, a nonprofit organisation that frequently advocates for increased digital access to books, also spoke out against the verdict. “The authors are researchers. “Authors read,” he says. “IA’s digital library assists authors in creating new works and encourages their desire to have their works read. This verdict may boost the bottom lines of the largest publishers and most well-known authors, but it will harm more people than it will help.

Difficult period for copyright law

The Internet Archive’s legal problems are not ended. In 2023, a collection of music labels, including Universal Music collection and Sony, sued the archive for copyright infringement on a music digitization project. That case is still working its way through the courts. The damages might total up to $400 million, posing an existential danger to the nonprofit.

The new ruling comes at a particularly difficult period for copyright law. There have been scores of copyright infringement cases filed against large AI businesses that provide generative AI tools in the last two years, and many of the defendants contend that the fair use doctrine protects their use of copyrighted data in AI training. Any big lawsuit in which judges reject fair use grounds is widely monitored.

It also comes at a time when the Internet Archive’s critical role in digital preservation is becoming increasingly apparent. The archive’s Wayback Machine, which catalogues website copies, has proven to be an invaluable resource for journalists, scholars, lawyers, and anybody interested in internet history. While there are other digital preservation programs, including national efforts by the US Library of Congress, there is nothing comparable available to the public.

 

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