Andy Jassy, CEO of Amazon, departs from Bezos' approach

When Jeff Bezos led Amazon, he maintained a distance from the government issues of the corporation. He seldom approached lawmakers. He only ever testified before Congress once, and it was under subpoena.

Bezos' replacement, Andy Jassy, is attempting a different strategy.

Jassy, 54, has travelled to Washington, D.C. at least three times since taking over as CEO of Amazon last July, visiting Capitol Hill and the White House each time. He met with President Joe Biden's chief of staff, Ron Klain, in September. He has spoken with Sen. Tim Kaine, D-Va., about Amazon's new corporate site in the state, and he has phoned majority leader Sen. Chuck Schumer, D-N.Y., to advocate against antitrust legislation.

Kaine, who met Jassy at the Capitol in September and spoke with him on the phone last month, described him as "extremely curious." Kaine claimed that Jassy was prepared and knowledgeable about the lawmaker's committee assignments, and that she wasn't trying to "bowl you over" by "force of personality" but rather was diplomatic instead.

A new era at Amazon is beginning to take form as a result of Jassy's initiatives in Washington. For many years, the executive followed in Bezos' footsteps and was regarded as one of his closest lieutenants. The executive joined the company in 1997 and created its Amazon Web Services cloud computing division. Last year's transition was widely viewed as carrying on Bezos' ethos and practises.

However, Jassy has subtly added his own stamp to Amazon, changing more than many insiders and business observers had anticipated.

He has specifically focused on the logistical operations, which Bezos passed off to deputies as important elements of the company. He has acknowledged that Amazon overbuilt and had to reduce costs, leading to the closure of its physical bookstores and the suspension of some warehouse development plans. He has begun an upheaval in the leadership structure. Additionally, he has adopted a more accommodative tone with Amazon's 1.6 million employees while still reiterating the company's hostility to unions.

The biggest departure from Bezos may be the next CEO's much more active approach to the political and regulatory difficulties in Washington.

According to Matt McIlwain, managing partner of Seattle's Madrona Venture Group, an early investor in the business, Jassy has been more involved in the inspection of Amazon's broader position as an employer and in society, beyond serving customers.

According to McIlwain, who has known Bezos and Jassy for more than 20 years, "I think those types of things do mean more to Andy." "Jeff has a libertarian outlook more so than others."

Perhaps Jassy's efforts are driven by necessity. Because of Amazon's prominence, political figures, activists, and academics are paying more attention to the company. According to OpenSecrets, which tracks influencein washington , the corporation responded by growing its lobbying operation in Washington, spending $19.3 million on federal lobbying in 2021 as opposed to $2.2 million a decade earlier.

It faces increasing difficulties. The Federal Trade Commission is looking into whether Amazon broke antitrust laws, and Lina Khan, a legal expert, is leading the investigation. In an effort to unionise their workforce, Amazon employees received Biden's support the previous year. Since then, he has hosted a union organiser from an Amazon facility in the Oval Office. The antitrust legislation that would make it more difficult for Amazon to prioritise its own brands over those sold by rivals on its website may be put to a vote by Congress soon.

Jassy "works with policymakers on both sides of the aisle discussing policy matters that potentially affect our customers," according to a prior company statement, Tina Pelkey, an Amazon spokesman, pointed out. Jassy was not made available for an interview by the company.

Previously, Bezos' goals in Washington were primarily social. He moved to the city as a result of owning The Washington Post, where he purchased a mansion in the Kalorama district. However, the workers in Amazon's Washington headquarters didn't always know when he was in town. A group from Amazon, led by former White House press secretary Jay Carney, attempted to shield Bezos from the company's detractors.

Jassy, who was a member of the Republican Club as an undergraduate at Harvard and has recently donated to business-friendly Democrats, made assisting Amazon with navigating the regulatory environment a top focus right away. Jassy called together a handful of corporate leaders for a briefing on the antitrust dispute after Bezos announced that he was stepping down as Amazon's CEO last year, according to two people with knowledge of the meeting.

Jassy made an appearance at a cybersecurity symposium at the White House in August. He travelled all over Capitol Hill in September to meet with the four heads of the congressional delegation. He also addressed a Republican senator from Tennessee and two Democratic senators from Washington state, where Amazon has its headquarters and expanded its logistical operations.

According to a person with knowledge of the conversations, which were previously reported by Politico, some Democrats pressured Jassy to permit Amazon workers to unionise and to oppose state limitations on abortion. Republican leader Rep. Kevin McCarthy advised Jassy to concentrate on creating products and to steer clear of divisive political and social concerns, according to a person with knowledge of the meeting.

McCarthy's spokesman failed to respond to questions about the encounter.

According to two persons with knowledge of the encounter, Jassy and Klain had a meeting at the White House the same week. According to one of the people, they talked about the economy's status and other topics.

According to a White House representative, Klain frequently held phone and occasionally in-person meetings with CEOs and labour leaders.

The American Innovation and Choice Online Act, which would forbid major internet platforms from giving their own items preference, poses the greatest immediate regulatory risk to Amazon.

Sen. Mark Warner of Virginia, one of the bill's Democratic authors, met with Jassy in December in Washington and they spoke about China's influence on technology. In a different discussion with Jassy this year in Seattle, Warner claimed that he expressed his concerns about how Amazon would copy the goods of retailers who made use of its website.

As opposed to Bezos, who founded the company, Warner predicted that Jassy "will be someone who will probably be more active in these policy debates with D.C."

Amazon has opposed the proposal, claiming that it already supports the small companies who are involved in the sale of goods on its website. It has stated that if the measure is passed, it might have to give up the promise of speedy delivery at the core of its Prime subscription service. The bill's sponsor, Sen. Amy Klobuchar of Minnesota, has referred to the notion that it would "outlaw" Amazon Prime as a "false."

Jassy has also spoken with lawmakers and Gina Raimondo, the secretary of commerce, whom he knew from their shared experience at Harvard, about Amazon's objections to antitrust legislation, according to sources with knowledge of the situation. According to one of the persons, Jassy informed Raimondo of Amazon's worries regarding new European antitrust laws that the company feels unfairly target its industry. The restrictions in Europe, according to Raimondo, have a disproportionately negative effect on American tech companies.

According to a representative for the Commerce Department, Raimondo met with Jassy and backed the proposed antitrust laws in the United States. The spokeswoman steered clear of commenting on their discussions.

According to Daniel Auble, a senior researcher at OpenSecrets, Jassy might be an effective ally for Amazon as it contends with the prospect of a federal antitrust action and ongoing suspicion of its authority.

Few lobbyists would be able to speak with or even schedule a meeting with the majority of the congressional leadership, he claimed. However, the CEO of Amazon can presumably call each one of them.