This is a case that further damages Amazon’s image. Brian L. Schwalb, Attorney General of the District of Columbia, has filed a potentially landmark lawsuit against the company. He in fact accuses him of deliberately slowing down its deliveries to low-income neighborhoods. According to court documents, nearly 50,000 Prime subscribers are victims of this strategy.
The heart of the problem? Since 2022, Amazon has reportedly systematically outsourced its deliveries in certain geographic areas, mainly located east of the Anacostia River, a historically less affluent area of Washington.
Result: where residents of more advantaged neighborhoods receive their packages within two days in 75% of cases, these areas only see their packages delivered within the same time frame 24% of the time.
The company defends itself by brandishing the argument of security. “We must put the safety of our delivery people first”said Kelly Nantel, spokesperson for Amazon. A justification which does not convince the authorities, who see it as a form of disguised discrimination.
Amazon in the eye of the storm
This is not the first time that Amazon has found itself in the sights of regulators. In 2021, the same attorney general’s office had already attacked him for anticompetitive practices. The Federal Trade Commission (FTC) also launched a lawsuit last year, accusing the company of illegally protecting its e-commerce monopoly.
However, the price of the Prime service remains the same for everyone : 139 dollars per year. A single price which promises fast deliveries and premium services, but which now seems to be applied with variable geometry depending on your postal code.
The question for the judicial authorities is to know whether Amazon deliberately transforms its algorithms for discriminatory purposes. In theory, Prime promises identical service for any user. In practice, things would therefore be very different.
The company defends itself tooth and nail, ensuring that it has always informed its customers of the delivery stages. Of which act. The promise of short delivery times remains unfulfilled. For at-risk or more remote geographic areas, the company could very well create a more affordable Prime subscription. An avenue which has obviously never been considered.
- Amazon accused of deliberately slowing deliveries to low-income neighborhoods in Washington, DC
- The two-day delivery rate drops from 75% to 24% in these targeted geographies.
- The attorney general is suing Amazon for discriminatory practices and violation of consumer protection laws.
