Amazon needs to comply with EU ad database

The European Court of Justice has ruled that Amazon must establish a publicly accessible advertising repository. The obligation stems from European platform rules outlined in the Digital Services Act (DSA). Amazon has stated that it is disappointed by the ruling.

Amazon was classified as a Very Large Online Platform (VLOP) last year under the DSA. This status requires Amazon Store, among other things, to create a repository containing detailed information on its online advertising and make it publicly available.

Legal challenge

The U.S. company initiated a legal challenge against its inclusion as a VLOP, arguing that it is not the largest retailer in any of the EU countries where it operates. Amazon further contended that its larger competitors in these countries have not been designated as VLOPs.

Temporary measures

The company petitioned the General Court of the EU to annul its designation. Pending a decision on nullification, Amazon requested interim measures amounting to a suspension of the VLOP obligations. However, the European Court of Justice rejected this: its Vice-President dismissed the application for interim measures. The court states that EU interests take precedence over Amazon’s commercial interests.

Amazon’s suspension request was not granted

Fundamental rights

The ruling states, among other things: “A suspension would lead to a delay, potentially for several years, in the full achievement of the objectives of the Regulation on a Single Market for Digital Services and therefore potentially allow an online environment threatening fundamental rights to persist or develop, whereas the EU legislature considered that very large platforms play an important role in that environment.”

‘Not a VLOP’

Amazon, whose lobbyists were banned from the European Parliament last month, has expressed disappointment with the decision. The ecommerce market leader in the largest European countries maintains that Amazon “does not fit the description of a VLOP under the DSA”.