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Amazon to Pay $2.5 Billion in Landmark FTC Settlement Over Prime Misleading Practices

Amazon to Pay $2.5 Billion in Landmark FTC Settlement Over Prime Misleading Practices

Washington, October 21, 2025: Amazon has agreed to pay $2.5 billion to settle a lawsuit filed by the U.S. Federal Trade Commission (FTC), which accused the e-commerce giant of misleading millions of users into enrolling — and remaining — in its Amazon Prime subscription service. The FTC described the settlement as “historic,” calling it one of the largest consumer protection settlements in the agency’s history, according to USA Today.The FTC had sued Amazon in 2023, alleging that the company used “deceptive website designs” to nudge users into signing up for Prime memberships they didn’t intend to purchase, and then made…
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