Blue Nile is an online specialty retailer of fine jewelry. Blue Nile was founded in 1999 and today is the largest online retailer of diamonds. Blue Nile is based in Seattle, Washington and competes with traditional jewelry stores such as Tiffany & Co., and online retailer stores such as James Allen, Belgium Diamonds, Ringsberry.com.
Blue Nile competed with jewelry stores such as Tiffany & Co. in the years preceding 1999.
The statement is definitely incorrect because Blue Nile wasn't established until 1999, so it couldn't possibly have competed with Tiffany before then.  I guess it was hard for the system because it doesn't really understand what "founded" means, and thinks that what it does now (compete with Tiffany) is what it could have done before it was founded, too.