Amazon vs. Perplexity: The Battle Over AI Shopping Agents Heats Up

Reviewed byNidhi Govil

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Amazon has sent a cease-and-desist letter to Perplexity demanding it stop its Comet AI browser from making purchases on Amazon's platform, sparking a heated debate about the future of AI-powered shopping and agent identification requirements.

Amazon Issues Legal Ultimatum to Perplexity

Amazon has escalated its dispute with AI startup Perplexity by sending a cease-and-desist letter demanding the company immediately block its Comet AI browser from making purchases on Amazon's platform

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. The legal threat, addressed to Perplexity CEO Aravind Srinivas, claims the company has ignored multiple warnings about Comet violating Amazon's terms of service by failing to identify itself as an AI agent when shopping on behalf of users

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Source: Digit

Source: Digit

According to Amazon's legal counsel, Perplexity's "ongoing illegal intrusion into the Amazon Store has already caused considerable harm, including disrupting Amazon's customer relationships and forcing Amazon to devote significant resources to track, investigate, and address Perplexity's misconduct"

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. The e-commerce giant gave Perplexity until Monday at 5 p.m. to comply or face legal action.

Perplexity Fights Back with "David vs. Goliath" Narrative

Perplexity responded defiantly with a blog post titled "Bullying is not innovation," positioning itself as a scrappy startup fighting against Big Tech monopolization

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. The company argued that Amazon's actions represent "a threat to all internet users" and accused the e-commerce giant of prioritizing ad revenue over customer experience

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"Amazon should love this. Easier shopping means more transactions and happier customers," Perplexity stated. "But Amazon doesn't care. They're more interested in serving you ads, sponsored results, and influencing your purchasing decisions with upsells and confusing offers"

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. The AI company framed the dispute as a battle between old-guard corporate manipulation and user empowerment through AI agents.

The Technical and Legal Dispute

At the heart of the conflict lies a fundamental disagreement about how AI agents should operate online. Perplexity argues that since Comet acts on behalf of human users, it automatically has "the same permissions" as those users and shouldn't need to identify itself as an agent

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. However, Amazon counters that other third-party agents, including food delivery apps and travel booking services, properly identify themselves when acting on customers' behalf.

In testing, PCMag found that Comet could successfully purchase products on Amazon without requiring users to log in or enter payment information, completing transactions independently using stored account details

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. The Register reports that Perplexity's software attempts to avoid detection when interacting with Amazon's web store

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Source: Silicon Republic

Source: Silicon Republic

Broader Implications for AI Commerce

This dispute represents the first major legal confrontation between a tech giant and an AI company over agentic browsing, setting important precedents for the future of automated online shopping

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. Amazon's position is complicated by its own AI shopping assistant, Rufus, launched in July, and CEO Andy Jassy's recent statement that the company expects to "partner with third-party agents" over time

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Source: TechSpot

Source: TechSpot

The stakes extend beyond just shopping convenience. According to a February 2025 Omnisend survey, 66% of consumers refuse to let AI make purchases for them, even for better deals

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. However, the technology is advancing rapidly, with OpenAI recently launching similar capabilities through ChatGPT Atlas, though the company acknowledges risks including prompt injection attacks that could cause agents to purchase wrong products

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