ACCC Sues Amazon Over Prime Video Ads Affecting 850,000 Subscribers
Updated
Updated · The Conversation · Jun 30
ACCC Sues Amazon Over Prime Video Ads Affecting 850,000 Subscribers
3 articles · Updated · The Conversation · Jun 30
Summary
More than 850,000 annual Prime subscribers were allegedly left with a degraded service after Amazon added Prime Video ads in July 2024 and charged A$2.99 a month for ad-free viewing.
The ACCC says Amazon Australia relied on contract terms that let it make adverse changes with notice, but failed to offer pro rata refunds or other meaningful redress to customers who cancelled.
Amazon US was also named as knowingly involved, with the regulator alleging it made the global advertising decision and helped implement it in Australia.
Amazon said it is reviewing the case after cooperating with the investigation; the ACCC is seeking penalties, redress and costs, with maximum fines potentially reaching A$50 million, three times the benefit, or 30% of adjusted turnover.
The Federal Court case could test how far Australian unfair-contract protections extend, especially whether cancellation rights alone are enough without refunds, and is drawing attention in the UK and EU.