Jun. 16 at 11:02 PM
Amazon could face a multibillion-dollar FTC lawsuit over alleged deceptive advertising practices, according to a Bloomberg report citing sources familiar with the matter. The Federal Trade Commission has reportedly drafted a complaint as part of an ongoing investigation involving several state attorneys general, with a formal lawsuit or negotiated settlement potentially arriving as early as this summer.
The probe would mark a third major regulatory challenge for Amazon from the FTC. The company previously agreed to a
$2.5 billion settlement in 2025 related to allegedly deceptive Prime subscription practices, while a separate antitrust case accusing Amazon of maintaining an illegal online marketplace monopoly is scheduled for trial in early 2027.
Although the specific advertising practices under scrutiny and the exact size of any potential penalties have not been disclosed, the coordinated involvement of state regulators could complicate settlement discussions.
$AMZN