You’ve probably heard some politicians and trade groups calling for the Federal government to use antitrust laws to break up Amazon because it’s getting too big and powerful. The concern is they’ve effectively cornered the eComm market and are starting to push into other business sectors like entertainment, healthcare, etc.. As Amazon’s power increases they’ll be able to squash the competition, which can limit choice and raise prices for consumers in the long run.
So how did Amazon get to its dominant position and how big are they right now? To answer those questions Bloomberg has pulled together a fascinating summary of the company’s growth over the past two decades. For a quick snapshot check the revenue stats below – the totals are pretty incredible.
Amazon’s counterargument against being a monopoly is the breadth of their business across many sectors. For example, their position as an eComm powerhouse doesn’t give them an unfair advantage in the entertainment business. That point could be valid, except for the fact that they’re bundling services like Amazon TV within their Prime membership, which ties their different business lines into one offering.
As Amazon continues to grow expect the antitrust drumbeat to get louder.