Amazon issues legal warnings to Perplexity regarding agentic browsing practices

ago 3 hours
Amazon issues legal warnings to Perplexity regarding agentic browsing practices

Amazon has taken a significant step by issuing legal warnings to Perplexity regarding its agentic browsing practices. This action centers on Perplexity’s AI-powered shopping assistant, Comet.

Background of the Issue

On Tuesday, both companies confirmed that Amazon sent a cease-and-desist letter to Perplexity. The letter stated that Comet was in violation of Amazon’s terms of service due to its failure to identify as an agent. In their blog post titled “Bullying is not innovation,” Perplexity described the warning as an aggressive legal threat.

Legal and Operational Implications

Perplexity asserts that its AI acts on behalf of users, which gives it the same permissions as a human. This viewpoint implies there is no need for the AI to disclose its status. In response, Amazon emphasized that other third-party agents operate transparently and identify themselves. Examples include:

  • Food delivery apps and their respective restaurants
  • Delivery services and the stores they partner with
  • Online travel agencies and their associated airlines

Amazon’s statement suggests that compliance could be simple: Perplexity should just identify Comet when shopping. However, there are concerns that Amazon may block Comet from its platform, especially since it has its shopping bot called Rufus.

Business Considerations in AI Shopping

Perplexity claims that Amazon’s actions may be motivated by a desire to control advertising and product placements. AI bots, unlike human shoppers, may not be swayed by promotional offers, potentially reducing upselling opportunities for Amazon.

Previous Controversies

This situation is reminiscent of a prior incident involving Cloudflare. Earlier, Cloudflare accused Perplexity of scraping websites by bypassing restrictions against AI bots. Although this drew criticism, many defended Perplexity, arguing that human-operated browsers function similarly.

Future Trends in Agentic Browsing

The ongoing tensions between Amazon and Perplexity highlight vital questions about the future of AI in online shopping. As more consumers delegate shopping tasks to bots, the dynamics of e-commerce may change significantly. Websites will face challenges in deciding whether to allow or block such AI entities.

Perplexity argues that Amazon is setting a pivotal precedent in how agents should interact with e-commerce platforms. As the industry landscape evolves, the need for clear guidelines on AI behavior will become increasingly pressing.