by Mike Masnick

Amazon's Consumer Electronics Distribution Questioned

from the oops dept

Wired is running an article about Amazon's entry into the consumer electronics space and they question if it's the right move for Amazon. More interesting to me, however, was the bit about the questionable way in which they are sourcing their products. Sony, for example, does not have Amazon as a certified reseller, and therefore they are apparently getting the goods in a questionable manner. I especially like the quote from's CEO saying he's heard "rumors" of Amazon's products having the serial numbers stripped off.

Reader Comments (rss)

(Flattened / Threaded)

  1. identicon
    Dan Miller, Aug 6th, 1999 @ 5:01pm


    First, that's a lame comment from Peck of Second, there are numerous vendors on the Net that are not "authorized" dealers of Sony, Toshiba, etc... These manufacturers will eventually realize that they are idiots for not certifying more of these Net retailers. I have no doubt that Amazon is obtaining the goods from a reputable distribution channel, even if it's not Sony approved.

    reply to this | link to this | view in thread ]

  2. icon
    Mike (profile), Aug 6th, 1999 @ 5:13pm

    Re: Lame

    I pretty much agree. I'm sure a company such as Amazon would do things in a straight forward manner. They have no reason to be really underhanded about it. This is one of the reasons I thought the story was so interesting, and the quotes more so. It's incredible what happens in this industry, and the "whisper" value of rumors.

    reply to this | link to this | view in thread ]

  3. identicon
    Dennis, Aug 6th, 1999 @ 9:20pm

    "Authorized" Dealer

    From my understanding with dealing with electronics merchants, the "Sony Authorized Dealers" actually have a huge disadvantage on the Internet.. As an "Authorized Dealer", you're not allowed to post pricing information, but if you're not authorized, then Sony can't stop you... I'm sure Sony's trying to protect its retail distribution channels, but the policy seems quite backward to me.

    reply to this | link to this | view in thread ]

  4. identicon
    Dan Miller, Aug 9th, 1999 @ 12:29pm


    Actually, I believe the merchant is allowed to post the retail price that Sony sets, they just aren't allowed to post the discounted price the the retailer may be selling for. Sony can't ever dictate what their products are sold for, but they do a damn good job of discouraging their online retailers from being competitive.

    reply to this | link to this | view in thread ]

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