Amazon vs. Perplexity: E-Commerce Giant Sues AI Startup Over ‘Covert’ Shopping Bots
In a escalating clash between Big Tech and AI disruptors, Amazon filed a federal lawsuit against Perplexity AI on November 4, 2025, accusing the $20 billion-valued startup of deploying unauthorized “agentic” AI tools to secretly access customer accounts on its platform. The suit, lodged in the U.S. District Court for the Northern District of California, alleges Perplexity’s Comet browser and embedded AI agents disguised automated shopping as human activity, evading detection and posing risks to user data. This marks the latest legal skirmish in the “agentic commerce” frontier—where AI autonomously handles real-world tasks like purchases—amid broader tensions over AI’s web interactions. As of November 9, 2025, Perplexity has dismissed the claims as “corporate bullying,” framing the battle as a fight for consumer choice against Amazon’s ad-driven empire.
The Allegations: Bots in Disguise and Security Threats
Amazon’s 28-page complaint paints Perplexity’s Comet AI as a digital intruder: Users grant the browser access to their Amazon credentials, allowing the AI to log in, browse, compare prices, and complete purchases autonomously—all without Amazon’s knowledge or consent. Key accusations include:
- Covert Access and Deception: Perplexity allegedly configured Comet to mimic human behavior, identifying as a “Google Chrome user” rather than an AI agent. This bypassed Amazon’s safeguards, including rate limits on automated traffic, and prevented personalized recommendations or fraud detection tailored to real users. Amazon likened it to a “burglar using code rather than a lockpick,” claiming it degraded the shopping experience and interfered with decades of curated personalization.
- Repeated Violations Despite Warnings: Amazon sent cease-and-desist letters in 2024 and August 2025, demanding Perplexity halt operations after initial agreements to pause were allegedly ignored. When Amazon blocked the original bots, Perplexity rolled out updated versions to circumvent them. The suit charges breaches of the federal Computer Fraud and Abuse Act (CFAA), California’s Comprehensive Computer Data Access and Fraud Act, and Amazon’s terms of service.
- Data and Security Risks: By accessing accounts without transparency, Comet exposes sensitive info—like payment details and purchase history—to potential vulnerabilities, including “prompt injection attacks” where hackers could hijack the AI to make unauthorized buys. Amazon seeks an injunction to bar further access, destruction of any scraped data, full disclosure of affected accounts, and unspecified monetary damages for lost control and remediation costs.
This isn’t Perplexity’s first rodeo: The startup faced a Reddit lawsuit in October 2025 for allegedly scraping billions of posts to train its models, highlighting patterns of aggressive data practices. (Quoted post in [post:8])
Perplexity’s Defense: Innovation vs. Monopoly
Perplexity, founded in 2022 and backed by investors like Jeff Bezos (ironically, Amazon’s founder), launched Comet in July 2025 as a “personal shopping agent” to streamline e-commerce—promising faster, ad-free buys. CEO Aravind Srinivas, in a pre-suit blog post, argued users should choose their AI assistants, not be funneled into Amazon’s ecosystem: “Easier shopping means more transactions and happier customers.” The company insists credentials stay local on users’ devices, never touching its servers, and accuses Amazon of stifling competition to protect its $500 billion ad revenue stream.
A Perplexity spokesperson told Bloomberg the suit “just proves Amazon is a bully,” echoing broader AI startup frustrations with platform gatekeepers. On X, reactions split: Tech influencers hailed it as a “first AI shopping war,” while critics decried Perplexity’s tactics as “high-tech trespassing.” (Post [post:8])
Broader Stakes: Regulating the Agentic AI Era
This lawsuit spotlights the regulatory vacuum around “agentic AI”—autonomous tools that act on users’ behalf, potentially upending e-commerce by bypassing ads and intermediaries. Amazon, racing to launch its own AI shopping features (like Rufus), argues for mandatory transparency to safeguard data and experiences. Perplexity counters that such rules entrench monopolies, urging openness for innovation.
Legal experts predict a protracted fight: CFAA claims succeed when deception is proven, but Perplexity could argue user consent overrides platform terms. Similar battles loom—Google and Meta have flagged AI scrapers—potentially shaping how agents navigate the web. For now, Comet remains operational, but Amazon’s motion for a preliminary injunction could pause it soon. Track updates via the docket or Reuters for developments in this digital showdown.