FTC lawsuit alleges Amazon has been ‘secretly and systematically’ overcharging for ads
Skip to main content Amazon responded saying the FTC’s claim ‘fundamentally misunderstands how advertisers behave.’ Amazon responded saying the FTC’s claim ‘fundamentally misunderstands how advertisers behave.’ by Stevie Bonifield Aug 31, 2026, 9:41 PM UTC Illustration by Alex Castro / The Verge Stevie Bonifield is a news writer covering all things consumer tech. Stevie started out at Laptop Mag writing news and reviews on hardware, gaming, and AI.
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Key Facts
- Fact 1: Skip to main content Amazon responded saying the FTC’s claim ‘fundamentally misunderstands how advertisers behave.’ Amazon responded saying the FTC’s claim ‘fundamentally misunderstands how advertisers behave.’ by Stevie Bonifield Aug 31, 2026, 9:41 PM UTC Illustration by Alex Castro / The Verge Stevie Bonifield is a news writer covering all things consumer tech.
- Fact 2: The FTC and 22 state attorneys general are suing Amazon for allegedly using a “secret ad surcharge” to drive up prices for ads on its website and app.
- Fact 3: This lawsuit comes almost a year after Amazon agreed to pay $2.5 billion to settle an earlier FTC lawsuit over Prime subscription practices.
- Fact 4: However, the FTC’s complaint alleges that Amazon has been “manipulating” the auctions since 2019: Amazon’s advertising organization (“Amazon Ads”) decided to set and charge customers higher prices for advertising placements itself.
Skip to main content Amazon responded saying the FTC’s claim ‘fundamentally misunderstands how advertisers behave.’ Amazon responded saying the FTC’s claim ‘fundamentally misunderstands how advertisers behave.’ by Stevie Bonifield Aug 31, 2026, 9:41 PM UTC Illustration by Alex Castro / The Verge Stevie Bonifield is a news writer covering all things consumer tech. Stevie started out at Laptop Mag writing news and reviews on hardware, gaming, and AI.
The FTC and 22 state attorneys general are suing Amazon for allegedly using a “secret ad surcharge” to drive up prices for ads on its website and app. FTC chairman Andrew Ferguson claims in a blog post on the lawsuit that the higher advertising prices “were largely passed on to American consumers.” According to the complaint, Amazon violated the FTC Act and over a dozen state laws. This lawsuit comes almost a year after Amazon agreed to pay $2.5 billion to settle an earlier FTC lawsuit over Prime subscription practices.
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