Amazon mandates sellers label AI-generated people in product images following New York law

Amazon Implements AI Disclosure Policy for Sellers

Amazon informed third-party sellers Wednesday that they must label AI-generated people appearing in product images and videos, a direct response to a New York law that took effect last month. The policy requires sellers to tag images and "A+ content"—which includes videos and enhanced graphics on listing pages—with specific metadata tags before uploading them to the marketplace 1

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. The company's announcement stated that recent legislation requires disclosure when advertisements contain photorealistic AI-generated people.

New York Law Targets Synthetic Performers in Advertising

The New York law mandates that companies disclose when synthetic performers in advertising replace human actors, specifically covering digitally created media that appear indistinguishable from real people 2

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. Governor Kathy Hochul described it as a "first-in-the-nation" law, with her office emphasizing that without notice, AI-generated content can undermine the public's ability to accurately distill fact from fiction. This legislation addresses growing concerns about misinformation and the need for transparency in digital advertising. Amazon clarified that the requirement doesn't apply to content featuring TV, video game, or movie characters, or real people whose likenesses have been altered using AI tools 1

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Impact on Amazon's Marketplace Ecosystem

The policy change affects a substantial portion of Amazon's retail business, as third-party sellers account for more than 60% of goods sold on the platform. A growing number of these sellers have been using AI to generate text, images, and other content for their listings, partly through tools that Amazon itself provides 1

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. Amazon stated it will add an indicator to listings on its website to inform consumers when product images and videos feature AI-generated people, though the specific criteria for when the label will be displayed remains unclear 2

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Broader Industry Movement Toward AI-Content Labeling

Amazon joins other major platforms implementing AI disclosure measures. Meta, TikTok, Pinterest, and YouTube have all introduced some form of AI-content labeling on their platforms 1

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. YouTube announced in May that it would automatically apply AI labels to videos when its systems detect significant photorealistic AI use, adding an enforcement layer on top of existing creator disclosure requirements 2

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. However, TikTok and Meta have faced criticism for inadequately labeling ads featuring AI-generated influencers promoting questionable products. California also moved this year to require large AI providers to embed watermarks in AI-generated images, video, or other content 1

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What This Means for E-Commerce and AI Adoption

The absence of federal law requiring companies to disclose AI-generated advertising content has left states to take the lead on regulation. Amazon has embraced AI internally, optimizing listing titles and details to be more discoverable by AI systems, investing in Alexa for Shopping, and launching features that inject AI-generated products into its search bar based on user queries 1

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. As sellers increasingly rely on AI tools to create compelling product listings, the new labeling requirements establish a framework for balancing innovation with consumer protection. The policy signals that major e-commerce platforms will need to develop clear standards for AI disclosure as the technology becomes more prevalent in online retail.