10:17 pm, Saturday, 4 October 2025

Amazon to Pay $2.5 Billion to Settle FTC Prime Sign-Up Allegations

Sarakhon Report

Record civil penalty and next steps

Amazon agreed to pay $2.5 billion to settle U.S. Federal Trade Commission claims that it deceived consumers into enrolling in Prime. The company did not admit wrongdoing but said it would enhance disclosures and cancellation flows. The settlement represents a record civil penalty secured by the agency in a consumer-protection case.

Subscription practices and policy signals

The case centered on “dark pattern” concerns and friction in canceling subscriptions. Policy analysts said the deal could set a template for subscription-design rules across the tech industry. Amazon said its shopping and content services will continue unaffected while it implements changes.

05:39:55 pm, Friday, 26 September 2025

Amazon to Pay $2.5 Billion to Settle FTC Prime Sign-Up Allegations

05:39:55 pm, Friday, 26 September 2025

Record civil penalty and next steps

Amazon agreed to pay $2.5 billion to settle U.S. Federal Trade Commission claims that it deceived consumers into enrolling in Prime. The company did not admit wrongdoing but said it would enhance disclosures and cancellation flows. The settlement represents a record civil penalty secured by the agency in a consumer-protection case.

Subscription practices and policy signals

The case centered on “dark pattern” concerns and friction in canceling subscriptions. Policy analysts said the deal could set a template for subscription-design rules across the tech industry. Amazon said its shopping and content services will continue unaffected while it implements changes.