Amazon and Apple Maintain Special Arrangement on Product Pages, Insider Reports
In a recent report by Insider, it has been revealed that Amazon gives special treatment to Apple’s product pages by keeping them free of unrelated ads. This suggests that there is an arrangement between the two companies. The Federal Trade Commission previously filed an antitrust lawsuit against Amazon, accusing the e-commerce giant of intentionally increasing junk ads that negatively impact search quality. However, Insider’s investigation found that Apple’s product pages, such as those for the iPhone and iPad, have a clean layout with no ads or recommendations. On the other hand, rival brands like Samsung Galaxy and Microsoft Surface display multiple banner ads and sponsored recommendations from other brands.
To verify these findings, Insider conducted their own test and confirmed that Apple’s product pages indeed appear cleaner. However, Microsoft Surface Pro’s page featured a carousel of sponsored listings with “4 stars and above,” along with related products and several banner ads. According to an email shared by the House Judiciary Committee, Apple had requested Amazon to keep its product pages free from ad clutter back in 2018. Jeff Wilke, who was then Amazon’s retail CEO, reportedly wrote in the email that Apple did not want to drive sales to competing brands through search or detail pages.
Apple has acknowledged that it has an agreement with Amazon that prevents other companies from purchasing ads for specific Apple-related brand queries on Amazon’s marketplace. However, they can still buy ads for key phrases containing an Apple name, such as “iPad keyboard case,” but not for “iPad” itself. Apple’s representative stated that the goal of the agreement was to create the best possible customer experience and address the issue of counterfeit products on the platform. Previously, Apple had to send Amazon numerous takedown notices.
While it remains unclear whether any financial transactions took place between the two companies, the email shared by the House mentioned a potential financial deal. Initially, Amazon declined Apple’s request, but Wilke stated in the email that if Apple wanted their products to appear exclusively in search results, they would need to purchase these placements or compensate Amazon for the lost ad revenue.