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The agency, joined by 22 state attorneys general, alleges Amazon used hidden surcharges dating to 2019 to overcharge advertisers
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The Federal Trade Commission sued Amazon $AMZN on Monday, alleging the company manipulated its advertising auction systems to overcharge businesses placing ads on its platform, potentially reaping more than $20 billion from the practice, according to CNBC.
The lawsuit, filed in U.S. District Court for the Western District of Washington and joined by 22 state attorneys general, targets the sponsored products, brands, and display advertisements Amazon sells against search results on its retail site. The FTC and states contend that Amazon's conduct ran afoul of federal and state consumer protection statutes, and the complaint asks the court for civil penalties, restitution, and additional relief.
