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How This Speedy Internet-Connecting Firm May Have Been “Forced” To Close By Amazon

How This Speedy Internet-Connecting Firm May Have Been "Forced" To Close By Amazon

11 April 2024 – A new lawsuit filed against Amazon in the US claims that the company’s cloud computing division, Amazon Web Services (AWS), utilised its dominant position in the industry to drive out a startup called Subspace Omega LLC. This business provided rapid internet connections by collaborating with Epic Games, the producer of Fortnite, and other clients.

The ecommerce giant has requested that the action be dismissed from a US court. In a document submitted to a federal court in Seattle (which was seen by the news agency Reuters), Amazon said that the case ought to be dismissed for several reasons.

This includes its inability to demonstrate that AWS was required to provide free network connections to it at various global locations. Subspace, a web traffic optimisation firm situated in Wyoming, ceased operations in 2022.


Conclusion

According to the complaint, the firm “peered” with Amazon on its networks in a deal intended to benefit both businesses. Subspace has now accused Amazon of breaking antitrust laws by terminating the agreement in a “calculated” attempt to put the firm out of business. The firm is also suing the internet giant for $417 million in damages.

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