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🍽️ Amazon sues the bot that stopped buying ads

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SellerBites By Outgive
November 07, 2025

HOT TOPIC

Perplexity calls out Amazon for suing innovation

Amazon’s latest feud isn’t a policy spat, it’s a billion-dollar ad war.

The retail giant says Perplexity’s AI, Comet, broke the rules by shopping undercover, while Perplexity says Amazon’s just bullying to guard its ad billions.

💰 The ad money at stake

You see, Amazon’s ad empire thrives on shoppers scrolling past ads they don’t mean to click. 

  • AI agents like Comet don’t scroll. They compare data, pick the best deal, and move on, skipping every paid placement along the way.

  • That’s bad news for a company that made tens of billions selling visibility. 

  • Perplexity calls Amazon’s “fraud” claim a smokescreen to keep the ad dollars flowing.

⚖️ The legal line in the sand

This isn’t just another tech lawsuit, it’s a test case that could define how “agentic commerce” works for decades.

  • If Amazon wins, websites could legally block any third-party AI from accessing them, turning the open web into gated gardens.

  • If Perplexity wins, AI agents would have the same rights as human users, free to browse, shop, and buy, no permission slips required.

AI agents could upend visibility by valuing data over ads, ushering in “Agent Engine Optimization.”

But if Amazon’s own bots favor its brands, sellers face a new game: less ad spend, more quality, or get buried.

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BITES OF THE WEEK

TRENDING TOPIC

Amazon finds its reason to raise prices…again?

Tariffs and inflation are hitting everyone, but Amazon shoppers might be feeling it more than most. Once known for undercutting rivals, the ecommerce giant is now raising prices faster than Target and Walmart. 

💸 The brutal facts

Data from research firm DataWeave shows Amazon leading the price hikes this year:

  • Amazon: +12.8%

  • Target: +5.5%

  • Walmart: +5.3%

Why? Because most of Amazon’s marketplace is powered by small third-party sellers, and unlike big-box retailers, they can’t absorb higher import costs. 

So, those costs get passed straight to shoppers. And it’s not just one or two categories seeing spikes:

  • Home goods: +15.3%

  • Apparel: +14.2%

  • Health & beauty: +13.2%

🏷️ Amazon fires back

Amazon says prices remain within “normal fluctuations,” but for sellers, it’s a balancing act.

Tariffs are driving costs up, forcing many to raise prices or sacrifice margins.

Still, buyers haven’t flinched, showing that convenience, trust, and fast delivery matter more than minor price hikes.

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