Apple's Deal with Amazon: Competitor Ads Removed

According to a report published by Insider, Apple has signed an agreement with Amazon to remove competitors' ads from its product pages. 

The agreement cleans search results and Apple product pages, making them relatively smaller in size compared to competitors' ads. Amazon also reduces the amount of ads at the top and bottom of search results, but still displays competitors' products.

The deal refers to reducing the number of ads on Apple product pages and preventing competitive ads in search results. Apple product pages appear relatively free of ads, and ads for related or highly ranked products are blocked. 

These ad-free pages date back to a previous 2018 agreement between Apple and Amazon regarding selling Apple products on the platform, according to the Insider report. 

Jeff Wilke, Amazon's former head of retail, also refers to this deal coming to fulfill Apple's desire to reduce competitive advertising.

Apple confirms the deal with Amazon, but it is not clearly understood whether Apple compensates Amazon for the advertising space or amount paid. An electronic report also indicates that Apple must purchase these slots or compensate Amazon for lost ad revenue.

Unwanted ads by Amazon in its market are part of the accusations faced by the Federal Trade Commission in an antitrust lawsuit against the company, where they point to its large profits from ads despite declining customer service quality.