Updated September 25, 2025 at 12:56 PM PDT

Amazon has agreed to pay a historic $2.5 billion to settle a landmark case over its Prime membership program . The U.S. government had alleged the company's web designs manipulated tens of millions of people into paying for subscriptions that were purposefully hard to cancel.

Amazon, without admitting wrongdoing, will pay $1 billion in civil penalties to the government and another $1.5 billion in payments to affected consumers, according to court documents. The company, in its statement , said it and its executives "have always followed the law and this settlement allows us to move forward and focus on innovating for customers."

Millions of people who paid for Amazon Prime between mid-2019 and mid-2025 are expected to automatically receive

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