Amazon agreed to pay $2.5 billion to settle claims that it tricked tens of millions of people into signing up for its Prime membership program, then made it hard for customers to cancel when they wanted out.

The settlement announced today came days into a jury trial that began in Seattle this week over the issue, which stemmed from a lawsuit filed by the Federal Trade Commission in 2023. The lawsuit cut to the heart of how Amazon defines itself as a champion for the hundreds of millions of consumers who regularly use its online shopping service.

The settlement includes $1 billion in penalties and $1.5 billion in payouts to customers, who could get $51 each if they qualify. The agency said it is one of the largest settlements in its history.

Amazon did not admit or deny wrongdoing in agr

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