Appeals Court Reverses Injunction Against Perplexity's AI Agents

A US appeals court has overturned an injunction that would have restricted Perplexity's AI agents from accessing Amazon's e-commerce services, resolving a long-standing legal dispute between the two companies.

The Ninth Circuit Court of Appeals found that the injunction would 'impair consumer choice and needlessly limit development of a nascent technology,' according to Judge Milan Smith in a 21-page opinion joined by two other judges.

In March, Amazon's request for a court order was granted by US District Court Judge Maxine Chesney, who said it was likely that Amazon would prove Perplexity had violated the Computer Fraud and Abuse Act of 1986.

The Ninth Circuit judges accepted Perplexity's argument that the company itself did not 'access' Amazon's site, as its agents were carrying out actions on behalf of Amazon users.