<p>By Arriana McLymore</p>
<p>March 12 (Reuters) - U.S Senator Elizabeth Warren of Massachusetts is asking Amazon  (AMZN.O)  CEO Andy Jazzy to provide details on its algorithmic pricing and contracting practices for the company’s procurement platform after an advocacy group said some schools and local governments paid more for office supplies compared to others in nearby locations, according to a letter seen by Reuters.</p>
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<li>“Instead of offering fixed prices for all buyers, which are typical in the procurement space, Amazon Business subjects buyers to algorithm-driven dynamic pricing that forces school districts and local governments to pay ever-changing, often inflated costs for essential goods,” Sen. Warren said in the letter.</li>
<li>States including California and New York, along with the U.S. Federal Trade Commission, have raised concerns about the collection and use of personal data to determine prices</li>
<li>Advocacy group Institute for Local Self-Reliance in December released a report saying algorithmic pricing by Amazon Business lets the company covertly raise prices.</li>
<li>One city paid three times as much for a pack of Sharpies as another nearby school district, according to the ILSR report.</li>
<li>Warren asked Amazon a dozen questions about how it determines prices for local governments and school districts, and its use of personal consumer data to set prices.</li>
<li>Warren in February sent a letter to Amazon on behalf of the Committee on Banking, Housing, and Urban Affairs requesting information about tariff-induced price increases on its e-commerce marketplace and if the company plans to decrease prices if it receives refunds for tariff payments recently deemed illegal by the US Supreme Court.</li>
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- U.S. Senator Elizabeth Warren is requesting information from Amazon CEO Andy Jassy regarding the company's algorithmic pricing practices after an advocacy group's report indicated discrepancies in office supply costs for schools and local governments.  
- The report highlighted that algorithmic pricing leads to varying prices, with one city paying significantly more than a nearby district for the same item, raising concerns about fairness in procurement.  
- Warren has posed questions about Amazon's pricing determination process and its use of personal data, following prior inquiries about tariff-related price increases on its e-commerce platform.

Reuters

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US Senator Warren presses Amazon on contracting, pricing practices for local governments and schools