Overview
- Reporting from multiple outlets says the FTC’s consumer protection division has drafted a preliminary complaint against Amazon, an action first reported in mid‑June.
- The inquiry centers on whether Amazon told advertisers about ‘reserve pricing,’ a hidden minimum bid that can keep ads from running unless advertisers meet the floor.
- Several state attorneys general are participating with the FTC, and any formal filing would require approval from the agency’s commissioners.
- News reports cite possible penalties running into the billions but no formal suit has been filed and both the FTC and Amazon declined to comment.
- The probe matters because Amazon’s ad business generated roughly $68 billion in 2025 and follows a $2.5 billion FTC settlement over Prime last year, which increases the company’s regulatory and business risk.