eBay sues Amazon for allegedly poaching

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eBay began legal action against Amazon in Santa Clara County on Wednesday, claiming to have fraudulently cheated its high-value vendors by infiltrating an internal messaging system called M2M. "
Amazon declined to comment on the lawsuit.

According to eBay, Amazon's "ploy" violated its user contract policies and "prompted eBay sellers to do the same."

"Amazon's misuse of eBay's M2M system has been coordinated, targeted and designed to inflict damage on eBay," the complaint said. "Indeed, one of the Amazon sales representatives who participated in this program described his work team as a" team of hunters / recruiters who actively seeks out vendors who we believe can succeed. . [Amazon] Platform & # 39;. "

eBay monitors the email system for any unauthorized use and indicates that messages sent by a "large number" of Amazon representatives indicated that they were trying to avoid detection.

Although the campaign has been going on for years, eBay has reported being informed of Amazon 's activities only a few weeks ago, when an eBay salesman informed the company' s representatives about it. business. At that time, eBay sent a letter of termination and forbearance to Amazon.

Both companies refused to disclose the total number of sellers who traded on their platforms. But eBay, which was founded a year after Amazon and fought for dominance in the early years of e-commerce, is now much smaller. Net revenues were $ 2.6 billion last quarter, compared to $ 52.9 billion for Amazon.
Amazon has become the destination of choice for merchants on the Internet because of its huge audience and its plug-and-play execution system that facilitates the delivery of orders to sellers. According to eMarketer, nearly half of all online retail sales in the United States take place on its platform.

Third-party sellers, who price their own products rather than wholesaling them to Amazon, now account for more than half of the units sold on the site.

In the complaint, eBay pointed out that it was "an open market in the pure state" that does not compete with its own sellers, as does Amazon with its brands distributor.

The plaintiff requested that the damages be determined by a jury trial.

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