Amazon Fires Back After FTC Claims Its Hidden Reserve Price Auctions Inflate Ad Costs

Feds and 22 states sue Amazon, alleging deceptive advertising scheme

The Federal Trade Commission and attorneys general from 22 states sued Amazon Monday, claiming the online retail company used artificial bids to inflate costs for advertisers, bringing in tens of billions of dollars. The complaint alleges that Amazon used an “invented auction participant” to drive up prices for advertising placements and sponsored product spots on […]

Amazon's answer to the FTC is that the auction is unknowable

The Federal Trade Commission and 22 states sued Amazon in Seattle on 31 August, alleging it inflated auction prices for Sponsored Products, Sponsored Brands and Sponsored Display, and generated more than $20bn in additional advertising costs since 2019. As CNBC reported, regulators say 1.2 million advertisers were affected, including more than 500,000 small and medium businesses. […] This story continues at The Next Web

Amazon Fires Back After FTC Claims Its Hidden Reserve Price Auctions Inflate Ad Costs

FTC alleges Amazon's reserve-price ad auction system inflates ad costs, a claim Amazon denies. Yet courts have sided with regulators in recent Google AdTech rulings.

FTC alleges Amazon hid overcharges to advertisers in lawsuit backed by 22 states

The lawsuit could significantly impact Amazon's advertising credibility, potentially altering digital ad market dynamics and regulatory scrutiny.

FTC and 22 States Sue Amazon Over Alleged Hidden Ad Surcharges

The FTC and 22 states allege Amazon concealed ad-auction surcharges from sellers and other advertisers. Amazon disputes the claims.