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US court overturns ban on Perplexity's AI shopping tools on Amazon

Created at 4 Aug · 7:55 PM1 source↑ Market-relevant
IN SHORT

A U.S. appeals court has overturned a ruling that temporarily barred Perplexity from using its AI-powered shopping tools on Amazon's platform. The court found Amazon unlikely to succeed on its claim that Perplexity's AI agents violated a federal computer-hacking law.

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Key Numbers

9thU.S. Circuit Court of Appeals

Who's Involved

Perplexity
AI startup whose shopping tools were subject to a court ban
Amazon
E-commerce giant that sued Perplexity
9th U.S. Circuit Court of Appeals
Federal appeals court that overturned the ban
Jesse Dwyer
Perplexity spokesperson
US court overturns ban on Perplexity's AI shopping tools on Amazon

↳ Why This Matters

This ruling sets a precedent for how AI agents can interact with online platforms, impacting the future development and deployment of agentic AI tools across the internet.

Key facts

  • A U.S. appeals court overturned a ruling that had temporarily barred Perplexity from using its AI-powered shopping tools on Amazon's platform.
  • The 9th U.S. Circuit Court of Appeals determined that Amazon was unlikely to succeed on its claim that Perplexity's AI agents violated a federal computer-hacking law.
  • The ruling is the first by a federal appeals court to address whether AI agents acting on behalf of users can legally access online platforms.
  • Amazon had sued Perplexity in November, accusing the AI startup of covertly accessing private Amazon customer accounts through its Comet browser and associated AI agent.
  • A federal judge in California had temporarily blocked Perplexity in March from using its agentic AI on Amazon's platform.
  • A U.S. appeals court on Tuesday overturned a ruling that had temporarily barred Perplexity from using its AI-powered agentic shopping tools on Amazon's platform. The San Francisco-based 9th U.S. Circuit Court of Appeals determined that Amazon was unlikely to succeed on its claim that Perplexity's AI agents violated a federal computer-hacking law.

    The ruling is the first by a federal appeals court to address whether AI agents acting on behalf of users can legally access online platforms, a question with broad implications for the fast-growing field of agentic AI tools that can browse, shop and transact across the web.

    Perplexity spokesperson Jesse Dwyer said in a statement, "Perplexity will continue to fight for the right of internet users to choose whatever AI they want. We have always been confident the truth will prevail and the rights of users will not be chipped away."

    Agentic AI systems can plan, reason and execute tasks with limited human oversight. Amazon sued Perplexity in November, accusing the AI startup of covertly accessing private Amazon customer accounts through its Comet browser and associated AI agent, which can log into users' online shopping accounts and place orders on their behalf. The lawsuit said Perplexity's system posed security risks and that it had ignored repeated requests to stop.

    Perplexity responded that the lawsuit lacked merit and was a "bald attempt" to block Amazon users from using Comet because AI agents "don’t have eyeballs to see the pervasive advertising Amazon bombards its users with."

    A federal judge in California temporarily blocked Perplexity in March from using its agentic AI on Amazon's platform, finding Amazon had presented "strong evidence" that Perplexity's AI agent broke a U.S. computer fraud and abuse law.

    The 9th Circuit overturned the ban on Tuesday, favoring Perplexity's argument that it did not violate a statute that prohibits people from accessing computers and obtaining information from them without permission. The appeals court said it was Perplexity's users, using the company's AI agents, who "accessed" Amazon's platform under the law, rather than Perplexity itself.

    Frequently asked questions

    A federal judge in California had temporarily blocked Perplexity from using its AI agent on Amazon's platform, citing strong evidence of violating a U.S. computer fraud and abuse law.

    Agentic AI systems are capable of planning, reasoning, and executing tasks with limited human oversight, such as browsing and transacting on behalf of users.

    Amazon accused Perplexity of covertly accessing private customer accounts through its Comet browser and AI agent, posing security risks and ignoring requests to stop.

    What Happens Next

    01Perplexity will continue to operate its AI shopping tools on Amazon's platform.

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    Cadence

    How It Developed

    Amazon sued Perplexity in November, accusing the AI startup of covertly accessing private customer accounts.
    A federal judge temporarily blocked Perplexity in March from using its AI agent on Amazon's platform.
    A U.S. appeals court overturned the ban on Tuesday.
    The court ruled Amazon was unlikely to succeed on its claim that Perplexity's AI agents violated a federal computer-hacking law.

    Sources

    T1
    Amazon loses US court ban on Perplexity's AI shopping toolsReuters

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