The Mercury News

EBay accuses Amazon of poaching sellers on its marketplac­e

Probe uncovers recruiting activity that spans years

- Olivia Carville

eBay accused rival Amazon of poaching sellers on its site around the world by infiltrati­ng the company’s internal message system.

About 10 days ago, an eBay seller alerted the company to the alleged campaign after the person was contacted by an Amazon employee, under false pretenses, attempting to recruit the person to switch platforms, according to a person familiar with the investigat­ion. This sparked an internal eBay probe that uncovered recruiting activity spanning several years and continents, with Amazon employees creating accounts with eBay and using the member-to-member email system, the person said, asking not to be named discussing details that aren’t public.

On Monday, eBay sent a cease-and-desist letter to Amazon accusing the retail giant of violating California’s Comprehens­ive Computer Data Access and Fraud Act, as well as eBay’s user agreement and policies.

“We have uncovered an unlawful and troubling scheme on the part of Amazon to solicit eBay sellers to move to Amazon’s platform,” an eBay spokesman said in a statement. “We have demanded that Amazon end its unlawful activity and we will take the appropriat­e

steps, as needed, to protect eBay.”

The Wall Street Journal reported earlier on the probe. Amazon said it is “conducting a thorough investigat­ion of these allegation­s.”

The news of the poaching comes less than a month after it was reported that Amazon employees are offering sellers confidenti­al internal data and other services in exchange for a fee.

eBay and Amazon are fierce competitor­s that rely on independen­t merchants that sell on their sites. Amazon has more customers, sales and faster growth than eBay, but some sellers still prefer the eBay platform since it is a pure marketplac­e, meaning eBay doesn’t compete with its merchants for sales like Amazon.

eBay also lets merchants communicat­e directly with customers and post email addresses and phone numbers on the site, while Amazon controls the overall shopping experience on its site and discourage­s merchants from communicat­ing directly with Amazon shoppers.

 ?? MARCIO JOSE SANCHEZ — ASSOCIATED PRESS ARCHIVES ?? eBay says Amazon has violated the Computer Data Access and Fraud Act.
MARCIO JOSE SANCHEZ — ASSOCIATED PRESS ARCHIVES eBay says Amazon has violated the Computer Data Access and Fraud Act.

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