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

In a recent legal dispute, the 9th U.S. Circuit Court of Appeals overturned a temporary ban imposed by Amazon on Perplexity's AI-powered shopping tools. The court ruled that Amazon was unlikely to succeed in its claim that Perplexity's AI agents violated a federal computer-hacking law. This decision marks the first of its kind from a federal appeals court, addressing the legality of AI agents acting on behalf of users to access online platforms.

Amazon spokespersons expressed disappointment with the decision, stating their confidence in the case and potential next steps. Perplexity, however, remains committed to its stance, emphasizing the user's right to choose their preferred AI. The case centers around Perplexity's Comet browser and associated AI agent, designed to log into users' Amazon accounts and place orders.

Amazon accused Perplexity of covertly accessing private customer accounts, posing security risks and ignoring repeated requests to cease. Perplexity countered that the lawsuit aimed to prevent Amazon users from using Comet and dismissed it as an attempt to limit access to AI agents that don't "have eyeballs" to observe Amazon's advertising.

The 9th Circuit overturned the ban, siding with Perplexity's argument that it did not violate the statute prohibiting unauthorized access and information acquisition from computers. The court noted that it was Perplexity's users, utilizing the company's AI agents, who accessed Amazon's platform under the applicable law, not Perplexity itself.