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Amazon to pay $2.5 billion to settle FTC allegations it duped customers into enrolling in Prime
Amazon reached a historic $2.5 billion settlement with the Federal Trade Commission which said the online giant tricked customers into signing up for its Prime memberships, and made it difficult to cancel after they did so
FILE - An Amazon Prime driver makes a delivery outside an apartment building in Pittsburgh, March 10, 2025. (AP Photo/Gene J. Puskar, File)
SEATTLE (AP) — Amazon has reached a historic $2.5 billion settlement with the Federal Trade Commission, which said the online retail giant tricked customers into signing up for its Prime memberships and made it difficult for them to cancel after doing so.
The Seattle company will pay $1 billion in civil penalties — the largest FTC fine in FTC's history, and $1.5 billion will be paid to consumers who were unintentionally enrolled in Prime, or were deterred from canceling their subscriptions, the agency said Thursday.
The trial in Seattle started this week after the case was filed two years ago.
Amazon admits no wrong-doing in the settlement. It did not immediately respond to requests by The Associated Press for comment.
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