Amazon-FTC case hinges on internal messages, business secrets

What lurks beneath all that blacked-out text? That's the immediate question for anyone reading the Federal Trade Commission's landmark antitrust lawsuit against Amazon, filed Tuesday in U.S. District Court in Seattle. The details behind all the redactions, when and if they’re revealed, will be key not only to understanding the merits of the FTC's case, but also to assessing the prospects for Amazon's defense. Here’s what happens next. 

• Among the redactions are nearly four pages describing “Project Nessie,” which is not just a building on the Amazon campus (above) but, according to the FTC complaint, a pricing algorithm that Amazon used to compete unfairly in the e-commerce market.

Panos Panay, the former chief product officer in charge of Microsoft’s Windows & Devices business, will join Amazon at the end of October as the leader of the company’s Devices & Services business, including Alexa and Echo.

• Amazon confirmed the news Wednesday morning in internal emails from CEO Andy Jassy and the current Devices & Services leader, Dave Limp.

• Last week, when initial reports of Panay’s hiring emerged, we took a closer look at his tenure at Microsoft and how his style may translate to Amazon. Read the story here.

Limp, meanwhile, will take the CEO role at Jeff Bezos’ space venture Blue Origin, replacing longtime chief Bob Smith. GeekWire contributing editor Alan Boyle explains why the hire could mark the start of a speed-up in the company’s tortoise-like pace.

Flexe cuts 33% of staff: The Seattle warehousing company is the latest logistics startup to trim its workforce amid a shaky freight market. Read more.  

Seattle mayor makes another bid for gunshot tech: Mayor Bruce Harrell (above) wants the city to use $1.8 million for a new crime prevention pilot that includes an acoustic gunshot locator system. Researchers and privacy advocates have questioned the effectiveness of the tech. Read more. 

Lee Hood’s latest endeavor: The Seattle genomics pioneer is teaming up with a California institute to research the biology of aging. Read more. 

Think beyond software and develop solutions for a wide market: Those were some of the tips shared at a panel discussion this week in Seattle directed at entrepreneurs leading climate tech startups. Read more. 

Startup funding news: 

• PortX raises $16.5M: The fintech startup is also forming a Credit Union Service Organization to better serve its credit union customers. 

• EchoMark lands $10M: The Seattle-area startup wants to help prevent leaks and data breaches by using digital watermarking and forensics technology.

• ‘ChatGPT for robots’: Microsoft vets raised cash from Khosla Ventures and others for Scaled Foundations, a Seattle startup building an AI-powered development platform that makes it easier for non-technical users to create commands for machines.

Hot Links:

• OpenAI is looking at a new valuation of up to $90 billion — around triple from earlier this year — and expects to reach $1 billion in revenue for 2023. (Wall Street Journal, subscription required)

• A decision by the Seattle Police Department to stop using body cam analysis software is getting scrutiny in light of a controversial recording related to a woman who was killed by an officer. (Seattle Times, subscription required) 

• LinkedIn released a list of its top 50 U.S. startups, and one from the Seattle area made it: health-tech company Truveta. (LinkedIn)

• Speaking of LinkedIn: It’s getting weird on the Microsoft-owned social network. (Insider)