Mar 19 โ€ข 11:30 UTC ๐Ÿ‡ง๐Ÿ‡ท Brazil Folha (PT)

iFood tells Cade that 99 adopts questionable conduct and mentions 'espionage practices'

iFood accuses 99Food of questionable business practices and corporate espionage in a formal complaint to Brazil's antitrust authority.

In a recent communication to Brazil's antitrust authority, Cade, iFood has accused its competitor 99Food, a subsidiary of the Chinese firm Didi, of engaging in questionable business practices, including corporate espionage and illicit advertising attacks. The complaint highlights a pattern of aggressive expansion tactics employed by 99Food that iFood claims are often unethical. This formal accusation was documented in a letter prepared by the law firm Mattos Filho and sent on March 6, as part of ongoing scrutiny over market competition practices in the food delivery sector.

In its correspondence, iFood also responds to inquiries from Cade regarding its own business conduct, defending itself against allegations of anti-competitive behaviors and juxtaposing its strategies against those of 99Food. The letter underscores controversies surrounding 99Food's aggressive market entry and suggests that its methods may undermine fair competition principles. The reaction from 99Food has been notably subdued, as the company opted not to comment on iFood's specific allegations at this time, despite having reported previous incidents of theft and espionage affecting its operations.

This dispute between two major players in the Brazilian food delivery market not only sheds light on competitive practices but also reflects broader concerns about market dynamics and regulatory oversight. The claims of corporate espionage raise significant implications for both companies, influencing public perception and potentially attracting further scrutiny from regulatory bodies overseeing fair competition in the rapidly evolving industry. As the antitrust authority investigates these claims, the outcome could set important precedents for business conduct in Brazil's competitive landscape.

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