The Federal Trade Commission (FTC) is suing Amazon over predatory Prime subscription tactics. Here’s the latest.
In the complaint filed on Wednesday, June 21, the FTC alleges that Amazon knowingly deceives customers into signing up for Amazon Prime through the use of “dark patterns.” Dark patterns are web design tactics that are designed to funnel users toward a specific outcome the company wants that the person may not have made without influence—in this case, signing up for Prime.
The FTC says Amazon’s checkout process presents customers with several options to subscribe to Prime, rather than simply complete a purchase without a subscription. It also alleges that Amazon put several roadblock steps in the unsubscription process to make it confusing to navigate. Ultimately, if these allegations are proven true, it means Amazon Music Prime subscribers could be inflated.
“Amazon tricked and trapped people into recurring subscriptions without their consent, not only frustrating users but also costing them significant money,” adds FTC Chair Lina Khan in her statement about the legal action. “These manipulative tactics harm consumers and law-abiding businesses alike.”
The complaint alleges the FTC gave Amazon several attempts to prevent coercive enrollments on its platform, but Amazon did not make the changes required. Amazon alleges that the FTC’s claims are false and that it is simple to both sign up for and cancel an Amazon Prime membership.
The FTC has scrutinized the use of dark patterns on the web more and more in the last few years. Epic Games faced a whopping $520 million fine for what the FTC alleged was a confusing process that duped people into buying in-game cosmetics. Amazon Prime costs $139 per year, but a more expensive monthly subscription is available.
The lawsuit against Amazon is heavily redacted, but the allegation is that Amazon’s business practices violated the FTC Act and the Restore Online Shoppers’ Confidence Act. You can see the full document here.