The European Commission (EC) has opened an antitrust investigation into certain business practices by Amazon in the distribution of electronic books. The Commission said it would investigate certain clauses included in Amazon's contracts with publishers. These clauses require publishers to inform Amazon about more favourable or alternative terms offered to Amazon’s competitors and/or offer Amazon similar terms and conditions than to its competitors, or through other means ensure that Amazon is offered terms at least as good as those for its competitors.

The EC has concerns that such clauses may make it more difficult for other e-book distributors to compete with Amazon by developing new and innovative products and services. The Commission will investigate whether such clauses may limit competition between different e-book distributors and may reduce choice for consumers.

EU Commissioner in charge of competition policy Margrethe Vestager said: "Amazon has developed a successful business that offers consumers a comprehensive service, including for e-books. Our investigation does not call that into question. However, it is my duty to make sure that Amazon's arrangements with publishers are not harmful to consumers, by preventing other e-book distributors from innovating and competing effectively with Amazon. Our investigation will show if such concerns are justified."

This is not the first time the European Commission is investigating the e-books sector under EU antitrust rules. In December 2011 the Commission opened proceedings in the sector because it had concerns that Apple and five international publishing houses (Penguin Random House, Hachette Livres, Simon & Schuster, HarperCollins and Georg von Holtzbrinck Verlagsgruppe) may have colluded to limit retail price competition for e-books in the EEA, in breach of EU antitrust rules. In December 2012 and July 2013, respectively, the companies offered a number of commitments, which addressed the Commission's concerns.

As always, the duration of an antitrust investigation depends on a number of factors, including the complexity of the case, the extent to which the undertaking concerned cooperates with the Commission and the exercise of the rights of defence.