Amazon is sued by the FTC and 22 states for 'secretly' overcharging advertisers since 2019

The FTC and 22 states allege Amazon has secretly added hidden surcharges to its ad auctions since 2019, inflating rates and extracting over $20 billion from advertisers. Internal documents cited in the complaint show employees aware of undisclosed reserve prices that boost short-term revenue but could harm long-term interests. Amazon denies the claims, asserting the lawsuit lacks evidence of consumer price impacts and misinterprets its auction system.