FTC targets alleged Amazon pricing algorithm ‘Project Nessie’

The Federal Trade Commission and 17 states filed a long-awaited lawsuit against Amazon on Tuesday, targeting the Seattle tech giant for “anticompetitive and unfair strategies.”

• The lawsuit alleges, for the first time publicly, that the company used a secret pricing algorithm known internally as “Project Nessie” to compete unfairly in the e-commerce market.

• Amazon’s practices allegedly “stop rivals and sellers from lowering prices, degrade quality for shoppers, overcharge sellers, stifle innovation, and prevent rivals from fairly competing,” according to the FTC.

• "Today’s lawsuit seeks to hold Amazon to account for these monopolistic practices and restore the lost promise of free and fair competition,” FTC Chair Lina Khan said. Read more.

Departing Amazon exec going back to work for Jeff Bezos: Dave Limp, the outgoing Devices & Services chief at Amazon, will be the new CEO at Blue Origin, replacing Bob Smith at the Kent, Wash.-based space venture started by Bezos. Read more.

Zulily vendors say they’re not getting paid: Following the Seattle e-commerce company’s sale to Los Angeles-based investment firm Regent, some vendors claim they are owed thousands of dollars in unpaid invoices. Read more.

Former Tableau execs launch Seattle startup: Damon Fletcher and Michael Arvold are co-founders of Millworks Analytics, a cost analysis platform that helps businesses better understand and manage their cloud expenses. Read more.

Mass timber on the rise as construction alternative: The Pacific Northwest is helping to lead a shift toward engineered wood that is fire resistant, earthquake safe and more environmentally friendly than steel and concrete. Read more.

Startup turns crab shells into useful industrial chemicals: Bellingham, Wash.-based Tidal Vision has raised more than $20 million for its technology that creates a versatile, biodegradable polymer called chitosan. Read more.

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