FTC alleges Amazon illegally made $20 billion by rigging billions of ad auctions

The FTC and 22 states sued Amazon, alleging that from 2019 to 2024 it covertly overcharged its roughly 1.2 million advertisers by manipulating the auction system that determines prices for Sponsored Products, Sponsored Brands and Sponsored Display ads. Internal documents and messages allegedly show Amazon replacing genuine auction outcomes with higher, profit-driven prices, generating about $20 billion in excess revenue.