Amazon Sued Over Alleged Digital Ad Auction Manipulation
The US Federal Trade Commission (FTC) and 22 states have filed a lawsuit against Amazon, accusing the company of 'manipulating' online auctions for digital advertising. The complaint alleges that Amazon overcharged its approximately 1.2 million advertising customers by more than $20 billion.
According to the FTC, Amazon began secretly manipulating auction results in 2018 to increase ad prices and took affirmative steps to conceal it from customers. The company generated over $68 billion in revenue from advertising alone last year, with its total revenue reaching nearly $717 billion in 2025.
The lawsuit is the third major case filed against Amazon by the FTC, following a $2.5 billion settlement in September 2025 over allegations of deceptive practices to enroll consumers in Amazon Prime and make it difficult for them to cancel subscriptions.