Market Overview

Amazon Removes 1M Products For Claiming To Cure Coronavirus, Inflating Prices

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Amazon Removes 1M Products For Claiming To Cure Coronavirus, Inflating Prices

Amazon.com Inc. (NASDAQ: AMZN) has removed more than a million products from its e-commerce platform that attempted to profit from the novel coronavirus (COVID-19) outbreak, CNBC reported Thursday.

What Happened

Any account that makes false claims about curing the coronavirus or increased the prices of products related to the prevention of the coronavirus in violation of Amazon's policy is either suspended for a time or permanently, according to CNBC.

"There is no place for price gouging on Amazon," an Amazon spokesperson told CNBC. The Jeff Bezos-led company also continues to monitor all coronavirus cure claims, according to the spokesperson.

Why It Matters

Amazon shows a notice about coronavirus protection when terms like "coronavirus," "coronavirus mask," "n 95 mask," are searched. Clicking on the link redirects to the Centers for Disease Control and Prevention website.

Social media behemoth Facebook Inc. (NASDAQ: FB) had earlier said it would remove any advertisement falsely claiming to have a cure for the coronavirus.

There's currently no verified cure for the novel coronavirus that has claimed at least 2,858 lives globally. Earlier this week, Moderna Inc. (NASDAQ: MRNA) sent the first batch of vaccines to health regulators for testing against the coronavirus.

Price Action

Amazon's shares closed the regular session 4.81% lower at $1,884.30 and inched another 0.76% lower in the after-hours session at $1,870.

 

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Posted-In: Amazon CNBC coronavirusNews Markets Tech Media General Best of Benzinga

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