The Federal Trade Commission (FTC) is set to commence its highly anticipated trial against Amazon this week, scrutinizing the e-commerce giant's subscription cancellation practices. This significant lawsuit, initiated in 2023 under the Biden administration, accuses Amazon of employing deceptive user interface designs to mislead millions of consumers into subscribing to its Prime service, making cancellation excessively difficult.
According to the FTC's complaint, Amazon allegedly utilized manipulative designs known as “dark patterns” to coerce consumers into automatically renewing their Prime subscriptions. The commission asserts that Amazon intentionally complicated the cancellation process, creating what has been described as a “labyrinthine” system. This intricate process is said to distract and deter customers from successfully canceling their subscriptions.
“The bottom line is that neither Amazon nor the individual defendants did anything wrong,” an Amazon spokesperson stated in an interview with CNN. “We remain confident that the facts will show these executives acted properly and we always put customers first.” This statement underscores Amazon's commitment to customer service, despite the ongoing legal challenges.
Amazon Prime, which is priced at $14.99 per month or $139 annually, plays a pivotal role in Amazon's business model, generating billions in revenue. Initially launched as a service to facilitate fast delivery, Prime has evolved into a comprehensive offering that includes streaming entertainment, grocery delivery, and exclusive subscriber deals. Although Amazon does not publicly disclose its subscriber numbers, a third-party analysis by Consumer Intelligence Research Partners estimates that as of March 2025, there are approximately 197 million Prime subscribers in the United States.
The trial is projected to last about a month, with jury selection commencing on Monday and opening arguments scheduled for Tuesday. Should the jury determine that Amazon violated the law, the presiding judge will decide the extent of damages the company must pay. The FTC has yet to provide comments regarding the trial's proceedings.
Since 2016, Amazon has allegedly implemented a lengthy and convoluted cancellation procedure internally referred to as “Iliad Flow”. This term draws its name from Homer’s epic of the protracted Trojan War. According to the FTC, the only method for consumers wishing to cancel their subscriptions, aside from contacting customer service, is to navigate through this intricate Iliad Flow process.
The FTC claims that customers must traverse a “four-page, six-click, fifteen-option cancellation process,” which includes numerous off-ramps. These distractions, such as warnings about missing out on benefits and promotional offers, are designed to deter customers from completing their cancellation. In stark contrast, the process of signing up for Amazon Prime is reportedly straightforward, allowing new subscribers to join with just two clicks, often hiding key details about recurring charges in fine print.
As this trial unfolds, the implications for Amazon and its operations could be significant, potentially reshaping the landscape of subscription services and consumer rights in the digital marketplace.
