Credit: Edgar Cervantes / Android Authority
TL;DR
- Amazon will pay $2.5 billion to settle FTC claims over Prime signups and cancellations.
- The FTC said Amazon “tricked and trapped” people into recurring subscriptions.
- People who signed up for Prime in the US between June 23, 2019, and June 23, 2025 could be eligible for a payout.
With Amazon’s next Prime sale just weeks away, the company could have done without the headlines its subscription service is making today. Amazon just agreed to pay $2.5 billion to settle claims it made Prime signups too easy and cancellations too hard.
As reported by The New York Times, the settlement came just days into a Seattle jury trial stemming from a 2023 Federal Trade Commission lawsuit. Regulators accused Amazon of steering people into Prime memberships during checkout by highlighting free shipping perks while playing down the cost, and then making it difficult to leave with a cancellation process that involved multiple screens and pressure offers.
Source Androidauthority
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