Amazon has agreed to a $2.5 billion settlement with the Federal Trade Commission over charges that it knowingly trapped customers into paying for Prime subscriptions , the agency announced Thursday.

The ecommerce giant will pay a $1 billion civil penalty and pledge another $1.5 billion in refunds to customers who were harmed by its conduct, the FTC said in a release.

Amazon will also “cease unlawful enrollment and cancellation practices for Prime.”

About 35 million consumers were affected by Amazon’s alleged misdeeds.

Amazon will pay up to $51 per customer with a valid claim. 3

The company, which could have faced even steeper fines and refunds if it had lost the case in court, will not admit to any wrongdoing as part of the settlement.

FTC Chairman Andrew Ferguson described th

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