Amazon sues Perplexity over covert AI agent access to marketplace
Amazon filed federal lawsuit against Perplexity on November 4, 2025, alleging the AI startup's Comet browser violated computer fraud laws through unauthorized access.
Amazon filed a federal lawsuit against Perplexity AI on November 4, 2025, alleging the startup deployed covert artificial intelligence agents into the e-commerce platform's systems without authorization. The complaint, filed in the Northern District of California, marks the first time Amazon has taken legal action against an AI company over autonomous shopping agents.
The lawsuit centers on Perplexity's Comet browser, which Amazon claims disguises itself as Google Chrome while enabling AI agents to access private customer accounts and make purchases on behalf of users. According to the complaint, Perplexity violated the Computer Fraud and Abuse Act and California's Comprehensive Computer Data Access and Fraud Act by refusing to transparently identify its agentic activities after repeated requests from Amazon.
Technical deception alleged in court filings
Amazon alleges Perplexity configured Comet to transmit the same user-agent string used by Google Chrome, making the AI agent appear as though a human customer was browsing Amazon's website. The complaint states that "when the Comet AI agent accesses the Amazon Store, it does not use a unique browser identifier and instead transmits the same 'user-agent' string that is used by Google Chrome."
The e-commerce platform argues this violates industry standards. Other web browsers with agentic AI capabilities use unique user-agent strings to distinguish requests initiated by AI agents from those resulting from direct human action, according to the lawsuit.
Amazon's forensic analysis required substantial resources. The complaint details how "numerous Amazon software engineers and other highly skilled employees spent significant time conducting a forensic analysis of network traffic and browser data to isolate the Comet AI agent's browser fingerprint from ordinary customer activities."
Advertising revenue at stake
The lawsuit reveals specific concerns about how AI agents threaten Amazon's advertising business model. According to the complaint, "traffic from automated agents, such as that from the Comet AI agent, imposes operational burdens and costs on Amazon's advertising systems."
Amazon's advertisers pay for their ads to be shown to humans, with billing based on valid ad impressions. The complaint states that "when automated agents, such as the Comet AI agent, generate ad traffic, Amazon must invest engineering resources to detect and filter out these non-human impressions before billing advertisers."
This filtering requirement forces Amazon to modify its advertising infrastructure. The complaint explains that "developing new detection mechanisms to identify and exclude automated traffic" becomes necessary to maintain contractual obligations with advertisers who pay only for legitimate human impressions.
The financial impact extends beyond technical costs. Amazon's third-quarter 2025 advertising revenue reached $17.7 billion, growing 22 percent year-over-year. CEO Andy Jassy told investors during the earnings call that Amazon's advertising delivers "a return on advertising spend that's very unusual," emphasizing the platform's value to brands.
Perplexity's Comet browser threatens this revenue stream by bypassing Amazon's curated shopping experience. The AI agent does not display sponsored products, recommendations, or other advertising elements that generate revenue for Amazon when human customers browse the marketplace.
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Timeline of confrontation
Amazon first contacted Perplexity about unauthorized AI agent deployment on November 19, 2024, when the e-commerce platform discovered Perplexity's "Buy with Pro" feature. The feature allowed paying subscribers to make purchases through Amazon using Perplexity-managed Amazon Prime accounts, violating Amazon Prime Terms & Conditions.
Perplexity agreed at that time to halt AI agent deployment in the Amazon Store unless the companies reached mutually agreed-upon terms. The startup did not honor that agreement, according to Amazon's complaint.
On August 4, 2025, shortly after Amazon detected Comet's renewed agentic activity, Amazon contacted Perplexity's Chief Business Officer, Dmitry Shevelenko. The complaint states that Amazon "explained that Amazon requires all AI agents to act transparently in the Amazon Store and that Defendant was not permitted to deploy the Comet AI agent in the Amazon Store." Shevelenko falsely claimed Comet was not "agentic," contradicting the company's public marketing materials.
Amazon implemented a technological barrier on August 19, 2025, to restrict Comet's access to private customer accounts. Within 24 hours, Perplexity released an updated version of Comet designed to evade the barrier. The complaint alleges this "software update allowed Defendant to again obtain unauthorized agentic access to Amazon's private customer accounts."
Amazon contacted Perplexity's CEO Aravind Srinivas on September 12 and September 29, 2025, explaining that Comet's activities were unauthorized. Srinivas "did not deny that Comet AI was accessing the Amazon Store without identifying itself" and "offered no legitimate justification for Defendant's unauthorized conduct," according to the lawsuit.
On October 2, 2025, Perplexity made Comet widely available to the public for free, expanding the potential scope of unauthorized access.
Amazon sent a cease-and-desist letter on October 31, 2025, demanding Perplexity immediately stop using AI agents to covertly access the Amazon Store.
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Security vulnerabilities compound concerns
The lawsuit emphasizes security risks posed by Comet's documented vulnerabilities. Amazon cites public security research showing the browser is "vulnerable to prompt injection attacks, phishing, scams, and other forms of cyberattacks."
Security researchers at Brave Software and LayerX discovered multiple critical vulnerabilities in Comet between August and October 2025. The vulnerabilities enable attackers to steal user credentials, access sensitive data, and exfiltrate private information through indirect prompt injection techniques.
The complaint references an article from The Hacker News explaining that "CometJacking hijacks the AI assistant embedded in the browser to steal data, all while bypassing Perplexity's data protections using trivial Base64-encoding tricks." Another cited report from Tom's Hardware states that "Comet would scan an obvious phishing email, visit the malicious website, and prompt its user for their banking account credentials without any indication that something might be amiss."
These security failures create risk for Amazon customers who use Comet to access their accounts. The complaint argues that "Perplexity is intentionally evading Amazon's identification of the Comet AI agent when it accesses the Amazon Store, and thereby directly interfering with Amazon's efforts to manage security risks."
Degraded customer experience claimed
Amazon alleges Comet degrades the shopping experience the e-commerce platform spent decades developing. The complaint states that Amazon has "invested billions of dollars over many years to develop a carefully curated shopping experience in the Amazon Store."
The shopping experience is designed to help customers find products based on reviews, price, availability, delivery speed, return rates, and each customer's browsing history. When Comet's AI agent makes purchases, it "may not select the best price, delivery method, or recommendations, and Amazon customers may not receive critical product information," according to the lawsuit.
Specific examples include Comet's failure to offer customers the option of adding products to existing deliveries. This omission "can result in improved delivery times and lower shipment volumes" when properly implemented, the complaint states.
The lawsuit argues this interference harms Amazon's reputation and customer relationships. The complaint states that "when customers who use the Comet AI agent cannot trust that their personal account information is secure, or when they suffer from a degraded shopping experience, their confidence in the Amazon brand is diminished."
Perplexity calls lawsuit bullying
Perplexity responded to the lawsuit with a blog post on November 4, 2025, titled "Bullying is Not Innovation." The company characterized Amazon's legal action as an attempt to "block innovation and make life worse for people."
According to Perplexity's statement, Comet users can ask their AI assistant to find and purchase items on Amazon when logged into their accounts. The company emphasizes that "credentials in Comet are stored securely only in your device, never on Perplexity's servers."
Perplexity argues that Amazon should welcome easier shopping experiences because they increase transactions and customer satisfaction. The startup claims Amazon prioritizes serving advertisements and sponsored results over user convenience. The blog post quotes Amazon CEO Andy Jassy from the company's recent earnings call stating that advertising delivers "a return on advertising spend that's very unusual."
The post frames the dispute as a conflict between user rights and corporate advertising interests. Perplexity states that "Amazon wants to eliminate user rights so that it can sell more ads right now and partner with AI agents designed to take advantage of users later."
Industry context: competing visions for agentic commerce
The lawsuit arrives amid broader industry tension over how AI agents should interact with e-commerce platforms. Research published in September 2025 revealed that major UK and US retailers actively welcome AI agents, with Amazon standing as the primary exception implementing comprehensive bot restrictions.
Chris Jones, Managing Director at PSE Consulting, found that "almost all the merchants we speak to are very keen to engage with the new agentic environment and, on the whole, welcome the opportunities presented to attract and engage new customer groups."
Amazon pursues a different strategy. The company introduced its own agentic AI capabilities on September 17, 2025, transforming Seller Assistant from a question-answering tool into an autonomous agent that monitors accounts, optimizes inventory, and manages advertising campaigns.
Industry expert Karsten Weide suggested that "blocking personal shopping bots will be a losing defensive battle," predicting competitive advantages for retailers that welcome agentic commerce. Weide indicated that "direct response advertising will fade. Brand advertising will gain in importance as we want to influence consumers before they tell their agent what to do."
Eric Seufert, advertising technology analyst, observed that "the fundamental flaw with 'agentic commerce' or 'agentic advertising' is that it violates the motivations of retail outlets to control the customer relationship and monetize their first-party data with advertising."
Legal remedies sought
Amazon requests preliminary, interim, and permanent injunctive relief preventing Perplexity from accessing the e-commerce platform's computer systems using AI agents. The complaint asks the court to enjoin Perplexity from "accessing, attempting to access, or assisting, instructing, or providing a means for others to access or attempt to access Amazon's protected computer systems using AI agents."
The lawsuit also seeks destruction of all Amazon data unlawfully obtained by Perplexity, identification of every Amazon account accessed through Comet, and certification under oath that Perplexity has complied with any court orders.
Amazon demands monetary damages including compensatory, statutory, and punitive damages, along with attorneys' fees and pre- and post-judgment interest. The complaint states that Amazon "has suffered economic and technological damages well in excess of $260,000."
The case number is 3:25-cv-09514, filed in the United States District Court for the Northern District of California, San Francisco Division.
Implications for marketing professionals
The lawsuit raises fundamental questions about how autonomous AI systems will interact with advertising-supported platforms. Marketing professionals face uncertainty about whether agentic AI will disrupt established programmatic advertising models.
Industry veteran Ari Paparo argued in July 2025 that agentic AI could fundamentally disrupt traditional programmatic advertising technology by automating campaign setup, targeting, and optimization functions currently handled by demand-side platforms.
Amazon's position suggests major platforms will resist AI agents that bypass their advertising infrastructure. The complaint argues that Perplexity's approach "degrades the Amazon shopping experience in this and other ways to the detriment of our customers and their relationships with Amazon."
For advertisers investing in Amazon's platform, the dispute highlights risks of AI-mediated commerce reducing ad exposure. The lawsuit reveals Amazon's determination to maintain control over how customers interact with products and advertisements.
The case may establish precedents for how courts interpret computer fraud laws in the context of AI agents. Whether transparency requirements for autonomous software represent enforceable obligations could affect the entire emerging agentic commerce sector.
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Timeline
- November 2024: Perplexity launches "Buy with Pro" feature using Amazon Prime accounts to facilitate purchases, violating Amazon's terms
- November 19, 2024: Amazon contacts Perplexity about unauthorized Prime account usage; Perplexity agrees to halt AI agent deployment without mutual agreement
- July 9, 2025: Perplexity launches Comet browser for $200-per-month Max subscribers with AI agent capabilities
- August 4, 2025: Amazon contacts Perplexity after detecting Comet's agentic activity disguised as Chrome browser traffic
- August 19, 2025: Amazon implements technological barrier to block Comet AI agent access
- August 20, 2025: Perplexity releases updated Comet version designed to evade Amazon's barrier within 24 hours
- August 20, 2025: Brave Security Team discloses prompt injection vulnerabilities in Comet browser
- September 12, 2025: Amazon contacts Perplexity CEO Aravind Srinivas explaining unauthorized access
- September 16, 2025: Research reveals major retailers welcome AI agents while Amazon blocks them
- September 17, 2025: Amazon launches own agentic AI capabilities for sellers
- September 29, 2025: Amazon again contacts Perplexity leadership about unauthorized conduct
- October 1, 2025: Perplexity announces Comet Plus subscription with publisher partnerships
- October 2, 2025: Perplexity makes Comet freely available to all users globally
- October 31, 2025: Amazon sends cease-and-desist letter demanding Perplexity stop covert AI agent access
- November 4, 2025: Amazon files federal lawsuit; Perplexity publishes "Bullying is Not Innovation" blog post response
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Summary
Who: Amazon.com Services LLC filed suit against Perplexity AI, Inc., a Delaware corporation headquartered in San Francisco. The lawsuit was filed by Hueston Hennigan LLP attorneys representing Amazon in the Northern District of California.
What: Amazon alleges Perplexity violated computer fraud laws by deploying AI agents through its Comet browser to covertly access Amazon's e-commerce platform without authorization. The complaint claims Perplexity disguised Comet as Google Chrome, evaded technological barriers, and refused to transparently identify agentic activities despite repeated requests. Amazon seeks injunctive relief, destruction of unlawfully obtained data, and monetary damages exceeding $260,000.
When: Amazon filed the lawsuit on November 4, 2025, following a timeline of confrontations beginning November 19, 2024, when Amazon first discovered unauthorized activity. The dispute escalated through 2025 as Perplexity launched Comet in July, evaded Amazon's technological barriers in August, ignored September warnings, and made the browser freely available in October despite Amazon's objections.
Where: The case was filed in the United States District Court for the Northern District of California, San Francisco Division, case number 3:25-cv-09514. The unauthorized access occurred through Amazon's protected computer systems hosting the Amazon Store, while Perplexity operates from its headquarters in San Francisco.
Why: Amazon argues the lawsuit protects customer data security, preserves the curated shopping experience, maintains advertising revenue streams, and establishes legal boundaries for AI agent behavior. The e-commerce platform claims Comet's security vulnerabilities endanger customer information, the AI agent degrades product discovery and delivery optimization, automated traffic imposes costs on advertising systems requiring non-human impression filtering, and Perplexity's refusal to operate transparently violates both Amazon's terms of service and federal computer fraud laws. Perplexity counters that Amazon uses legal intimidation to block innovation and protect advertising revenue rather than serving customer interests.