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"Sold by Amazon" comingles identical SKUs from different sellers in their warehouses.

Seller A sells real Product Z on Amazon. Seller B sells fake Product Z on Amazon. When you order Product Z that is "Sold on Amazon" you might get a real one provided by Seller A, or you might get a fake one sold by Seller B

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I believe what you are saying is possible for “Shipped by Amazon” not “sold by Amazon”.

I believe your description was accurate before ca. 2015, but at some point they reportedly started making commingling the default even for "Sold by Amazon" items. Commingling isn't the only issue, either; there's still the problem of products for which Amazon was never an authorized retailer and so their listing/SKU may have been created to sell counterfeits in the first place. In any case, there have been multiple lawsuits specifically alleging that counterfeit items were "Sold by Amazon" [1] [2] [3].

[1] https://web.archive.org/web/20201125141347/https://www.forbe...

[2] https://www.courtlistener.com/docket/4495986/1/apple-inc-v-m...

[3] https://www.geekwire.com/2016/daimler-ag-sues-amazon-knockof...

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