WASHINGTON, Dec 8 (Reuters) - Amazon.** asked a federal court on Friday to dismiss a U.S. gover** antitrust lawsuit which accuses the **pany of using illegal strategies to boost profits at its online retail empire, Bing Ads including an algorithm that allegedly pushed up prices by more than $1 billion.
In its motion to dismiss, Amazon said the U.S. Federal Trade **ission, in a lawsuit filed in September, **fused "**on retail practices" with anti**petitive **duct and failed to identify harm to **sumers.
"Amazon promptly matches rivals' discounts, features **petitively priced deals rather than overpriced ones, and ensures best-in class delivery for its Prime subscribers," the **pany said in asking for the lawsuit to be "dismissed in its entirety."
The FTC lawsuit was one of four that the Trump and Biden administrations have filed since 2020 against the **panies that dominate the inter**. The Biden team has primarily focused on ordinary **sumer items like housing, food and airli**ickets.
The FTC lawsuit said Amazon, which has 1 billion items in its online superstore, created a "secret algorithm" named Project Nessie to identify products for which it ** raise prices without losing customers. The FTC said Amazon used Project Nessie to extract more than $1 bill**m Ameri**s.
In its filing, Amazon said Nessie was dis**tinued in 2019 and that the **pany matches other **panies' lowest prices.
The FTC was also critical of Amazon's decision to require sellers under the **pany's Prime feature to use its logistics and delivery services even though many preferred to use a cheaper service or o**hat would also serve customers on other platforms.
Amazon.** said that using Amazon's fulfillment services was voluntary, including for products sold under its Prime service.
Amazon's average fees for sellers using its fulfillment services increased from 27% in 2014 to 39.5% in 2018, the FTC said.
Amazon also argued that it **peted with other online superstores like Walmart and Target, and a range of stores with specialized markets such as Best Buy, Home Depot, Kroger, Costco, Staples, Walgreens, Nike and Apple.
"The **plaint's 'online superstore' market is implausible because it suggests, for example, that **sumers would not **sider buying a low-priced TV on Bestbuy.** only because Best Buy does not also sell shoes," Amazon argued. (Reporting by Diane Bartz; Editing by Richard Chang)
In its motion to dismiss, Amazon said the U.S. Federal Trade **ission, in a lawsuit filed in September, **fused "**on retail practices" with anti**petitive **duct and failed to identify harm to **sumers.
"Amazon promptly matches rivals' discounts, features **petitively priced deals rather than overpriced ones, and ensures best-in class delivery for its Prime subscribers," the **pany said in asking for the lawsuit to be "dismissed in its entirety."
The FTC lawsuit was one of four that the Trump and Biden administrations have filed since 2020 against the **panies that dominate the inter**. The Biden team has primarily focused on ordinary **sumer items like housing, food and airli**ickets.
The FTC lawsuit said Amazon, which has 1 billion items in its online superstore, created a "secret algorithm" named Project Nessie to identify products for which it ** raise prices without losing customers. The FTC said Amazon used Project Nessie to extract more than $1 bill**m Ameri**s.
In its filing, Amazon said Nessie was dis**tinued in 2019 and that the **pany matches other **panies' lowest prices.
The FTC was also critical of Amazon's decision to require sellers under the **pany's Prime feature to use its logistics and delivery services even though many preferred to use a cheaper service or o**hat would also serve customers on other platforms.
Amazon.** said that using Amazon's fulfillment services was voluntary, including for products sold under its Prime service.
Amazon's average fees for sellers using its fulfillment services increased from 27% in 2014 to 39.5% in 2018, the FTC said.
Amazon also argued that it **peted with other online superstores like Walmart and Target, and a range of stores with specialized markets such as Best Buy, Home Depot, Kroger, Costco, Staples, Walgreens, Nike and Apple.
"The **plaint's 'online superstore' market is implausible because it suggests, for example, that **sumers would not **sider buying a low-priced TV on Bestbuy.** only because Best Buy does not also sell shoes," Amazon argued. (Reporting by Diane Bartz; Editing by Richard Chang)
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