Amazon has been ordered to pay $2.5 billion to the FTC due to accusations of using manipulative tactics to enroll customers in its Prime membership without proper consent and complicating the cancellation process. The settlement includes significant penalties and mandates improvements to the transparency and simplicity of the enrollment and cancellation procedures.
The FTC is investigating the advertising practices of Amazon and Google, focusing on potential deceptive practices and the accuracy of their advertisements. This scrutiny comes as part of a broader regulatory effort to ensure transparency in digital advertising and protect consumers from misleading information.