Tag: amazon

Amazon pulled up by Delhi consumer court over deficient service and unfair trade practices

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The Delhi Consumer Court on Tuesday pulled up e-commerce giant Amazon for “deficiency of service” and “unfair trade practices”. The court directed Amazon to share the contact details of the grievance officer for a transparent grievance redressal mechanism.

The court’s directive follows a plea regarding Amazon’s prolonged delay in issuing a refund for a defective laptop, stretching over a staggering 17-month period. The court imposed a penalty of ₹45,000 on Amazon and a retailer for taking nearly a year and a half to issue a refund for the faulty laptop.

During the proceedings, the Consumer Court underscored Amazon’s role not merely as a neutral intermediary but as an active participant in the transaction process. It highlighted Amazon’s practice of accepting orders, placing them with third-party sellers, and ultimately concluding contracts, thus dismissing any notion of it being a mere facilitator.

One of the central criticisms levelled against Amazon pertained to its grievance redressal mechanism or rather the lack thereof.

The court noted with concern the absence of contact details for a grievance officer on Amazon’s website, terming it a clear instance of deficient service. The court has directed Amazon to promptly share the requisite contact details and establish a transparent mechanism for addressing consumer grievances.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Holi 2024: Amazon offers up to 70% off on clothing, footwear, smartwatches and more

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Holi, the festival of colours, is around the corner. And to take the festive fervour a notch up, e-commerce giant Amazon has announced its Holi sale, offering up to 70% discounts on a wide range of products. If you are looking forward to upgrading your wardrobe, there can’t be a better time as this season’s sale provides massive offers for all — men, women and children — and includes the latest fashion trends.

Besides clothing, you also have a chance to elevate your beauty regimen. Apart from skincare and beauty products, discounts are available on smartwatches, sunglasses, footwear, and jewellery.

Ahead of Holi 2024, let’s take a look at various offers on Amazon:

1. Women’s clothing

As part of the Amazon Holi Shopping Store 2024, the e-commerce platform is offering up to 70% off on women’s clothing. These include elegant ethnic wear from brands like Biba and Soch to Levi’s and Only.

2. Kurtas, T-shirts and more for men

Besides women’s clothing, up to 70% discount is available for men on kurtas, T-shirts, and other items from leading wardrobe brands like Manyavar, Vastramay and Symbol.

3. Kids store

This Holi, if you are planning to dress your little ones in the latest fashion trends, then do consider shopping on Amazon as there is a 70% discount on several kids’ clothing during the Holi sale. This includes items ranging from adorable dresses to comfortable casual wear.

4. Footwear

Besides clothing, Amazon’s Holi sale offers major discounts on footwear as well. These include companies like Puma, Crocs and Adidas among others. From sneakers to comfortable sandals, there is something available for everyone this Holi season.

5. Jewellery

This year, the online shopping platform is providing 80% off on various jewellery items, ranging from necklaces to earrings. Do consider exploring these mesmerising pieces at unbeatable prices to add a touch of glamour to your Holi outfit this year.

6. Smartwatches

Add extra glamour to your style with an all-new range of smartwatches available on Amazon at 60% discount rates. Here you get to browse through a wide range of designs from big brands like Casio, Fastrack and more.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Thrasio’s bankruptcy and Indian e-commerce roll-ups: The stress is real

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Top Amazon aggregator Thrasio has filed for bankruptcy in the US to reduce its losses from a massive debt load. The company filed for protection under Chapter 11 of the US Bankruptcy Code and had agreed with lenders to shave about $495 million off its debt load.

“We are taking steps to build on this progress by strengthening our financial position and working with our lenders to support our future success,” Greg Greeley, Chief Executive Officer of Thrasio, said in a statement.

Thrasio, which raised billions of dollars and popularised the concept of e-commerce aggregation, has also received commitments from certain unnamed investors for up to $90 million in new financing. If the capital comes through, it will go toward ongoing operations and will enable the firm to keep running brands in its portfolio.

“In particular, the financing will enable the continued operation of Thrasio’s brands, support ongoing business operations and provide the company with access to new capital upon emergence from Chapter 11 to support go-forward business operations,” Greeley further added.

Thrasio has raised $3.4 billion to date and was even eying going public through SPAC, but the plans were shelved due to a complicated auditing process, CNBC had previously reported.

In 2022, the company also laid off about 20% of its employees and even saw several executives depart, including co-founder Josh Silberstein. That year it named Greeley, a 19-year veteran of Amazon who oversaw the development of its Prime loyalty programme, as its CEO, succeeding co-founder Carlos Cashman, who remains a member of Thrasio’s board.

During the pandemic, investors pumped billions of dollars — mostly in debt — into startups rolling up popular brands sold on Amazon, betting on the online sales boom. But as people returned to their old consumption patterns, Amazon sales slowed.

As per a report by a Seattle-based company GeekWire, Amazon’s online store sales represented less than 40% of its overall net sales in its second-quarter results of 2023.

According to a document filed with the New Jersey bankruptcy court, Thrasio listed assets between $1 billion and $10 billion, and liabilities between $500 million and $1 billion. According to reports, the company clocked over $500 million in revenues and a profit of $100 million in 2020.

Now this ripple effect can also be seen in India. As per data from market research firm Datum Intelligence, the e-commerce sector grew less than 20% for the first time in 2023 (calendar year) or about $60 billion (₹4.8 lakh crore) against an average growth of 25-30% in the last few years.

The thrasio-style roll-up marketplace model grew popular in India during 2021 and the space attracted nearly $800 million in equity and debt funding, according to reports. However, due to the slowdown in e-commerce sales, funding has mostly dried up for these aggregators, there’s been a slowdown in acquisitions and there have been clear signs of distress.

Big players in the space like SoftBank-backed GlobalBees losses spiked two-fold to ₹6 crore in FY23. Meanwhile, its competitor Mensa Brands’ losses also widened during the fiscal and went up from ₹88 crore in FY22 to Rs 214 crore in FY23.

Another player UpScalio became the first Indian e-commerce roll-up firm to lay off 40% of its employees.

Content-to-commerce conglomerate, The Good Glamm Group is prioritising profitability in the run-up to an IPO in two years, Priyanka Gill, Group Co-founder, had said earlier, adding that the is tapping new revenue streams and optimising costs as it rides on omni-channel strategy and digital velocity to maintain strong growth rates.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

‘Road House’ screenwriter sues Amazon to block movie remake

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Writer Lance Hill sued Amazon.com, opens new tab on Tuesday to halt its upcoming remake of the 1989 film “Road House,” arguing that the film violates his rights in the original’s screenplay.

Hill said in the California federal court lawsuit, opens new tab that Amazon never received a license to remake his screenplay after he reclaimed his copyright in it. He requested an unspecified amount of monetary damages and a court order to block Amazon from distributing the movie without a new license.

The remake, starring Jake Gyllenhaal, is set to debut at the South by Southwest festival in Texas on March 8 and then move to Amazon’s Prime Video streaming platform on March 21.

An Amazon MGM Studios spokesperson said the lawsuit was “completely without merit.”

Hill’s attorney, Marc Toberoff, said that major studios should “respect the fundamental rights and artistry of creators on whose sweat and toil their empires are based.”

The lawsuit said Hill wrote the “Road House” screenplay in 1986 and transferred his rights to the film’s producer United Artists later that year.

U.S. copyright law allows artists to terminate transfers and reclaim their rights after decades in some circumstances. Hill told the court that he notified Metro-Goldwyn-Mayer, which owns United Artists, in 2021 that he was reclaiming his rights to the screenplay.

MGM allegedly responded that Hill could not reclaim the copyright.

Amazon acquired MGM in March 2022. Hill said he regained his copyright last November, and that Amazon set a deadline to finish the film the day before the termination became effective.

Hill said Amazon took “extreme measures” to meet the deadline, including using artificial intelligence to recreate actors’ voices during a Screen Actors Guild strike, but did not finish the movie until January.

Amazon’s spokesperson denied that the remake uses any AI in place of actors’ voices.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Amazon India launches Women in Night Shifts initiative in Haryana

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Amazon India, on Wednesday, announced the launch of its Women in Night Shifts (WINS) initiative at a major Sort Centre in Haryana. According to the company, this initiative is designed to provide a safe and supportive work environment for women and aims to ensure equal opportunities for both men and women across various shifts.

In regions where regulations have traditionally restricted women from working night shifts in warehousing operations due to safety concerns, Amazon India has prioritised safety, security, and well-being to enable the WINS initiative.

“Amazon India has actively engaged with state governments to advocate for equal work opportunity for all. Through dedicated efforts and collaboration with authorities, the company has successfully enabled night shift operations for women across select sites in Tamil Nadu, Rajasthan, Gujarat, Maharashtra, Karnataka, Uttar Pradesh, Telangana, Punjab, and now, in Haryana,” the company said in a statement.

Liju Thomas, Director of HR, India Operations, Amazon India, expressed gratitude to the government for their support in enabling women to work in night shifts, stating, “We believe in creating equal opportunities and addressing barriers that women face in the workplace.”

Thomas highlighted Amazon‘s commitment to promoting gender equality and ensuring a safe work environment for all associates, with comprehensive measures such as transportation facilities and enhanced security arrangements for night shift workers.

Amazon India is said to have implemented various safety measures aimed at enhancing the well-being of its associates, including improved facility lighting, escorted pick-up and drop services, gender sensitisation training, deployment of female staff in supervisory roles, and sessions with safety experts to address challenges associated with night shifts.

Dushyant Chautala, Deputy Chief Minister of Haryana, commended Amazon India for championing equal opportunity in the workplace, noting the government’s efforts to enact policies enabling women to access equal work opportunities.

Amazon India also announced the launch of the third edition of the #SheIsAmazon campaign on the 49th International Women’s Day, under the theme #InspireInclusion. This campaign will highlight 49 programmes, initiatives, and benefits aimed at empowering women.

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Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Walmart to acquire smart TV maker Vizio for $2.3 billion to boost its advertising business

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Walmart is buying the smart TV maker Vizio for $2.3 billion as it attempts to expand its rapidly growing advertising business to compete with Amazon.

If completed, the deal would give Walmart access to Vizio’s SmartCast operating system, allowing the retail behemoth to offer its suppliers the ability to display ads on streaming devices.

Walmart has been ramping up its media and ad business with Walmart Connect, giving advertisers access to Walmart’s massive customer base. In its earnings release on Tuesday, Walmart said its global advertising business grew approximately 28% to $3.4 billion last year.

The moves come as Amazon announced last month it would start charging its Prime members $2.99 per month to keep their movies and TV shows ad-free, on top of the fee it charges for Prime: $14.99 per month or $139 per year.

Vizio’s SmartCast system has 18 million active accounts and has grown by 400% since 2018. The companies say that Vizio’s platform has more than 500 direct advertisers and that ads now account for the majority of the company’s gross profit.

Makers of streaming hardware like Roku and Vizio have increasingly shifted their focus to ad revenue in recent years. Vizio launched its Vizio Ads business unit in 2019, claiming that it was “one of the few connected TV companies with the device penetration, consumer opt-in and infrastructure to deliver meaningful scale.”

Walmart recognised the Vizio’s expanding consumer reach and jumped at the chance to supplement its Walmart Connect business.

“We believe the combination of these two businesses would be impactful as we redefine the intersection of retail and entertainment,” said Seth Dallaire, executive vice president and chief revenue officer for Walmart US.

Other major streamers — such as Netflix and Disney — have embraced the dual model that allows them to earn revenue from ads and also offer subscribers the option to opt out with a higher fee.

However, in the constantly evolving streaming sector, it remains to be seen whether consumers are willing to pay more to see fewer ads when they are already paying subscription fees, often for multiple services. A big reason that so many viewers “cut the cord” and quit cable TV was frustration over their ever-increasing bills.

Vizio shares jumped nearly 15% in the afternoon, to $10.96 per share.

Walmart, which reported sales and profit Tuesday that topped Wall Street’s expectations, rose 3.1% to $175.66 per share.

Shares of Roku, one of Vizio’s main competitors, tumbled 6.4% at midday.

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Amazon to be added to the Dow Jones Industrial Average, replacing Walgreens Boots Alliance

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Amazon.com Inc. is being added to the Dow Jones Industrial Average, joining Apple, Walt Disney, Walmart and other companies that make up the 30-stock average.

The e-commerce giant will replace drugstore operator Walgreens Boots Alliance in the Dow before the open of trading on Monday, S&P Dow Jones Indices said Tuesday.

The shift was prompted by Walmart’s decision to do a 3-to-1 stock split, which will reduce its stock’s weighting in the index. The Dow is a price-weighted index, so stocks that fetch higher prices are given more weight.

Seattle-based Amazon will join the Dow on the same day that Walmart executes its stock split.

“Reflecting the evolving nature of the American economy, this change will increase consumer retail exposure as well as other business areas in the DJIA,” S&P Dow Jones Indices said.

Amazon’s entry into the Dow, Walgreens’ exit and Walmart’s stock split will cause a ripple effect on the weighting of the Dow stocks. Once the shift is completed, Amazon’s weight in the Dow will rank 17th out of the 30 stocks in the index. Walmart’s weighting will drop to 26 from 17. UnitedHealth Group will remain the most heavily weighted stock in the index.

Also before the start of trading on Monday, ride-sharing service Uber Technologies will be added to the Dow Jones Transportation Average, S&P Dow Jones Indices said.

The change help give the index exposure to the ride-sharing industry.

San Francisco-based Uber will take the spot now held by JetBlue Airways, whose low share price caused its weight in the index to drop to less than one-half of one percentage point.

S&P Dow Jones Indices made the announcements after the closing bell. Amazon shares rose 1.4% in after-hours trading, while Uber’s stock picked up 1.1%.

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Jeff Bezos wraps up 50 million Amazon stock sale netting $8.5 billion

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Jeff Bezos unloaded 14 million Amazon.com Inc. shares worth about $2.4 billion, finishing in just nine trading days the plan he disclosed earlier this month to sell up to 50 million shares.

The latest transaction, which brings his cash out total to $8.5 billion, took place over three trading days ending Tuesday, according to a regulatory filing. Before his selling spree, the world’s third-richest person hadn’t disposed of company stock since 2021.

Bezos, who founded Amazon and owns space exploration company Blue Origin and the Washington Post, hasn’t disclosed plans for the proceeds. He announced on November 2 he was moving to Miami from the Seattle region.

Washington state instituted a 7% capital gains tax in 2022 — something Florida doesn’t have — meaning Bezos’s relocation is likely saving him hundreds of millions of dollars in taxes.

Bezos has a net worth of $191.3 billion, according to the Bloomberg Billionaires Index.

Spokespeople for Amazon and Bezos didn’t immediately respond to requests for comment.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Nvidia replaces Alphabet as Wall Street’s third most valuable company

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Nvidia eclipsed Google-parent Alphabet as the third most valuable US company on Wednesday, just after overtaking Amazon and as investors looked to the dominant AI chipmaker’s upcoming quarterly report.

The Santa Clara, California company’s stock rose 2.46%, putting its value at $1.825 trillion, while Alphabet’s stock climbed 0.55%, leaving it with a value of $1.821 trillion.

Nvidia has been a top beneficiary of technology companies’ race to build AI into their products and services, and the latest gain in its stock came a day after it ended a session with a market capitalisation above Amazon‘s for the first time in two decades.

Amazon’s market capitalisation was $1.776 trillion after its stock rose 1.39% on Wednesday.

Nvidia controls about 80% of the high-end AI chip market, a position that has boosted its stock price 47% this year after it more than tripled in 2023. Customers face shortages of Nvidia’s top-of-the-line components while AI developers face months-long waiting lists to use its processors through cloud-computing providers.

Technology-related companies, including Microsoft and Meta Platforms, have also rallied to record highs on AI optimism.

Nvidia’s quarterly report next Wednesday will be among Wall Street’s most closely watched of the week. Analysts expect another blowout quarter and outlook, and anything less could deflate Wall Street’s AI rally, some investors warned.

“The market recognises Nvidia as the AI king. But if Nvidia has one bad quarterly report, if they don’t overly exceed investors’ expectations, this thing could sell off 20 or 30% in one after-hours session,” said Jake Dollarhide, Chief Executive Officer of Longbow Asset Management in Tulsa.

Susquehanna analyst Christopher Rolland on Wednesday increased his price target for Nvidia’s stock to $850 from $625, saying he expects strong quarterly results and guidance. Nvidia shares were last at $739.

An early leader in the AI race, Microsoft in January overtook Apple to become the world’s most valuable company, now valued at over $3 trillion. State oil giant Saudi Aramco is the world’s third most valuable publicly-listed company, according to LSEG.

Analysts, on average, see Nvidia’s January fiscal quarter revenue more than tripling to $20.37 billion, fueled by demand for its top-shelf AI chips, according to LSEG data. Analysts see its adjusted net profit surging over 400% to $11.38 billion.

Nvidia is trading at around 34 times expected earnings, up from about 24 in early January, and down from over 50 a year ago, according to LSEG.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Jeff Bezos sells $4 billion of Amazon stock in four trading days

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Jeff Bezos didn’t wait long to start cashing in on Amazon.com Inc.’s rally to start the year.

Less than two weeks after disclosing a plan to dispose of as many as 50 million shares of the company he founded, Bezos has offloaded 24 million shares, worth more than $4 billion. The sales, revealed in regulatory filings, took place over just four trading days. The world’s second-richest person previously hadn’t sold stock since 2021.

Bezos hasn’t explained why he’s selling now, but the timing of when he instituted the trading plan may provide a clue. He announced on Nov. 2 he was moving to Miami from the Seattle region. He adopted a so-called 10(b)5-1 plan on Nov. 8.

Washington state instituted a 7% capital gains tax in 2022 — something Florida doesn’t have — meaning Bezos’s relocation is likely saving him $288 million so far. Because Bezos has only ever bought a single share of Amazon, it’s safe to assume he’s owned the stock since the company was founded and therefore virtually all of their value would be considered capital gains.

Amazon shares were up 13% this year through Monday’s close, the last day on which Bezos sold shares, according to a filing. They slipped 2.2% to $168.64 on Tuesday.

Spokespeople for Amazon and Bezos declined to comment.

A tax bill of $288 million would be a significant windfall for Washington, which raised $855 million from the capital gains tax last year, more than half of which came from just 10 people, according to state officials.

The tax has received some pushback in the state. Billionaire Ken Fisher in March said he would move his firm from Washington to Texas, criticizing the tax and the court decision that upheld it. A ballot initiative could make its way to voters in November seeking to repeal the levy.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow