B12 Solipsism

Spreading confusion over the internet since 1994

Trump vs. Amazon

without comments

Amazon Prime and The Pope
Amazon Prime and The Pope

The Washington Post reports:

President Trump escalated his assault on Amazon.com on Saturday, accusing the online retail giant of a “Post Office scam” and falsely stating that The Washington Post operates as a lobbyist for Amazon.

In a pair of morning tweets sent during his drive from his Mar-a-Lago estate to the nearby Trump International Golf Club, the president argued that Amazon costs the U.S. Postal Service billions of dollars in potential revenue.

Trump has repeatedly advanced this theory, even though officials have explained to him that Amazon’s contracts with the Postal Service are profitable for the agency.

The president also incorrectly conflated Amazon with The Post and made clear that his attacks on the retailer were inspired by his disdain for the newspaper’s coverage. He labeled the newspaper “the Fake Washington Post” and demanded that it register as a lobbyist for Amazon. The Post is personally owned by Jeffrey P. Bezos, the founder and chief executive of Amazon, and operates independently of Amazon.

Trump is typically motivated to lash out at Amazon because of The Post’s coverage of him, officials have said. One person who has discussed the matter repeatedly with the president explained that a negative story in The Post is almost always the catalyst for one of his Amazon rants.

The Post on Friday afternoon published online an exhaustive account of the Trump Organization’s finances being “under unprecedented assault” because of three different legal inquiries: special counsel Robert S. Mueller III’s Russia investigation; a $130,000 payment allegedly to secure the silence of adult-film actress Stormy Daniels over a sexual encounter she says she had with Trump; and lawsuits alleging that Trump is improperly accepting gifts, or “emoluments,” from foreign or state governments through his businesses.

[From Mueller to Stormy to ‘emoluments,’ Trump’s business is under siege]

Trump is known to react especially sensitively to news stories about his personal and business affairs.

(click here to continue reading Trump accuses Amazon of ‘Post Office scam,’ falsely says The Post is company’s lobbyist – The Washington Post.)

Amazon stock fell drastically. If I was a securities lawyer, I might consider filing a class-action lawsuit against the Tiny Fingered Cheeto: smarter men than him have been sanctioned for attempting to manipulate stock prices.

Whole Foods Amazon and The Pope
Whole Foods, Amazon and The Pope

Gabriel Sherman of Vanity Fair writes:

Now, according to four sources close to the White House, Trump is discussing ways to escalate his Twitter attacks on Amazon to further damage the company. “He’s off the hook on this. It’s war,” one source told me. “He gets obsessed with something, and now he’s obsessed with Bezos,” said another source. “Trump is like, how can I fuck with him?”

 According to sources, Trump wants the Post Office to increase Amazon’s shipping costs. When Trump previously discussed the idea inside the White Hose, Gary Cohn had explained that Amazon is a benefit to the Postal Service, which has seen mail volume plummet in the age of e-mail. “Trump doesn’t have Gary Cohn breathing down his neck saying you can’t do the Post Office shit,” a Republican close to the White House said. “He really wants the Post Office deal renegotiated. He thinks Amazon’s getting a huge fucking deal on shipping.”

Advisers are also encouraging Trump to cancel Amazon’s multi-billion contract with the Pentagon to provide cloud computing services, sources say. Another line of attack would be to encourage attorneys general in red states to open investigations into Amazon’s business practices. Sources say Trump is open to the ideas. (The White House did not respond to a request for comment.)

Even Trump’s allies acknowledge that much of what’s fueling Trump’s rage toward Amazon is that Amazon C.E.O. Jeff Bezos owns The Washington Post, sources said. “Trump doesn’t like The New York Times, but he reveres it because it’s his hometown paper. The Washington Post, he has zero respect for,” the Republican close to the White House said. While the Post says that Bezos has no involvement in newsroom decisions, Trump has told advisers he believes Bezos uses the paper as a political weapon. One former White House official said Trump looks at the Post the same way he looks at the National Enquirer. “When Bezos says he has no involvement, Trump doesn’t believe him. His experience is with the David Peckers of the world. Whether it’s right or wrong, he knows it can be done.”

(click here to continue reading “Trump Is Like, ‘How Can I F–k with Him?’”: Trump’s War with Amazon (and The Washington Post) Is Personal | Vanity Fair.)

Just another totally normal day in Washington…

Amazon Brick and Mortar Location
Amazon Brick and Mortar Location

Josh Marshall of Talking Points Memo adds:

One notable thing that people seldom discuss is that with a mix of constant growth, cultivation of market confidence and restraint Amazon has managed to be one of the most successful businesses in American history and pay close to no federal taxes for the simple reason that it’s careful to always operate at a more or less a break-even P&L. In other words, on many fronts Amazon creates huge negative externalities which society at large is subsidizing.

It is equally clear that low wage warehouse jobs, upending of retail businesses, disintermediation of publishers or tax avoidance are not things Donald Trump cares anything about. Indeed, the one thing he really focuses on with Amazon – Amazon ripping off the Post Office – seems pretty clearly not to be true. Amazon is Trump’s target because of The Washington Post.

Amazon doesn’t own The Washington Post. But it is owned by Amazon’s founder and CEO Jeff Bezos. So close enough. President Trump’s attacks on Amazon are entirely part of his attacks on independent and even mildly critical media.

(click here to continue reading McCabe, Amazon and Defending the Republic from Donald Trump – Talking Points Memo.)

plus, from Raw Story, we learn the WSJ isn’t pleased by this attack1:

The conservative editorial board of the Wall Street Journal took President Donald Trump to task for his bizarre Thursday tweet attacking Amazon.com, saying the assault on the popular company appeared to be political in nature and that he could face impeachment should he decide to sic government agencies on the company.

In the piece published on Friday morning, the WSJ board noted that Trump appears to be going after Amazon because it was founded by billionaire Jeff Bezos, who owns the Washington Post, which has been highly critical of the Trump administration.

The Journal noted that Trump got his facts wrong about the relationship between Amazon and the U.S. Post Office writing, “Mr. Trump’s other big gripe is that taxpayers are on the losing end of Amazon’s deal with the U.S. Postal Service. But that story is also more complicated. The Post Office has often operated at a net loss, but package volumes grew in fiscal 2017 by more than 11%, making it a rare growth market. Many of the additional 589 million boxes delivered last year came from Amazon.”

“Though imperfect, the deal is mutually beneficial,” the editorial continued. “The Post Office arguably needs Amazon more than Amazon needs the Post Office. The Post Office could drop Amazon as a delivery partner, but it would likely have to raise prices elsewhere or endure higher losses. Would Mr. Trump take credit for that?”

As for the possibility that Trump might try to compel officials in his administration to inflict damage on the company, the Journal warned Trump he might be flirting with disaster and impeachment.

“Mr. Trump could try to unleash the Internal Revenue Service, though that would be a scandal that could be an impeachable offense,” the editorial cautioned. “The press and prosecutors would not give the Trump IRS the pass they gave Lois Lerner during the Obama years for targeting conservative nonprofits with extra scrutiny.”

(click here to continue reading Wall Street Journal warns Trump’s ‘political’ attacks on Amazon and Jeff Bezos could lead to impeachment.)

Footnotes:
  1. though not to worry, the Fox and Friends talkers are on board []

Written by Seth Anderson

April 2nd, 2018 at 6:54 pm

Posted in Business,politics

Tagged with ,

Leave a Reply