Algorithmic Cartels: A New Frontier for Antitrust Enforcement The antitrust suits against Amazon and RealPage have shed light on a concerning phenomenon: pricing algorithms that facilitate cartel like behavior without human agreement or even explicit collusion.
The concept of a "ghost cartel" – where algorithms independently arrive at the same, anticompetitive outcome – is both fascinating and frightening.
The case against Amazon's Project Nessie highlights the more deliberate version of this problem, where companies design systems to anticipate rivals' moves and adjust prices accordingly.