Business

Too Easy to Join Prime, Too Hard to Leave? Amazon Faces FTC Trial Over Prime Membership Claims

By Priya Pathak

Copyright republicworld

Too Easy to Join Prime, Too Hard to Leave? Amazon Faces FTC Trial Over Prime Membership Claims

Amazon, the e-commerce giant, is facing a trial in a federal court in Seattle starting today over the allegations from the Federal Trade Commission (FTC) that the company tricked millions of shoppers into its Prime membership program.The FTC claims Amazon made it incredibly easy to sign up for Prime but deliberately difficult to cancel. “Amazon was aware for years that it was taking consumers’ money without their consent, yet chose to do nothing about it,” the agency said in court documents as reported by the news media. According to the FTC, this affected hundreds of millions of Americans who use Amazon for everyday shopping.Amazon, however, denies the allegations, claiming that the company’s approach has always been about providing value. “The way Amazon drives Prime subscribers is by making the service useful and valuable,” Amazon spokesperson told the websit. “Prime, with hundreds of millions of members, is among the highest performing subscription programs of any kind, as measured by renewal rates and customer satisfaction. We remain confident the facts will show our executives acted properly and always put customers first.”Prime has been around for nearly 20 years and has grown into one of the world’s largest subscription services. For Rs 1499 a year or Rs 299 a month in the US, members get fast shipping, video streaming, and discounts at Whole Foods. Many users can relate to the convenience Prime offers so much so that once you sign up, leaving can feel like a headache.Jeff Bezos, Amazon’s CEO, once described Prime as such a good deal that “you’d be irresponsible not to be a member.” But the FTC argues that the way the company keeps people subscribed crosses the line into unfair business practice.If the jury finds that Amazon violated the law, the judge will decide the penalties. So far, the FTC is not asking for any monetary damages, focusing instead on justice for consumers who may have been affected.For millions of Prime users, this case hits close to home. Many know the frustration of trying to cancel subscriptions or wondering if they’ve been charged without realising it.Read More: Elon Musk’s Grok AI Faces New Controversy