GoKawiilFTC and 22 states sue Amazon over alleged hidden ad-pricing surcharges
The Federal Trade Commission, joined by 22 state attorneys general, filed suit against Amazon alleging it covertly altered its ad auction rules starting in 2019 to overcharge advertisers by more than $20 billion. The complaint targets Amazon's sponsored products, brand, and display ads, claiming the company misrepresented its 'second-price' auction system while quietly adding surcharges. Amazon has rejected the allegations, calling the lawsuit misguided and saying its auction changes actually saved advertisers billions.