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• The FTC sued Amazon, alleging the company misled advertisers about its pricing and auction systems.

A worker sorts packages on Amazon Prime Day in New York, July 8, 2025.Klaus Galiano | Bloomberg | Getty Images

The Federal Trade Commission on Monday sued Amazon, alleging the e-commerce giant “secretly and systematically overcharged” advertisers on its platform by manipulating its pricing and auction systems.

The lawsuit, which was joined by 22 state attorneys general, argues that Amazon may have reaped more than $20 billion from advertisers by using “hidden surcharges” dating back to a change to its auction rules that took effect in 2019.

The complaint was filed in U.S. District Court for the Western District of Washington.

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