Amazon has issued a cease-and-desist letter to Perplexity, demanding that the startup’s AI browser agent, Comet, cease executing purchases on Amazon’s marketplace on behalf of users. Delivered on 4 November 2025, the letter accuses Perplexity of violating Amazon’s terms of service, engaging in conduct resembling computer fraud, and degrading the platform’s customer experience, Investing.com reported.
Perplexity has rejected the allegations, accusing Amazon of using its market dominance to suppress competition and innovation.
The confrontation marks one of the first legal and regulatory flashpoints over “agentic” artificial intelligence—AI systems capable of performing actions for users, such as making purchases or bookings. Amazon argues that Comet misrepresents itself as a human user when it interacts with Amazon’s systems, thereby breaching its ban on automated tools and bots. Perplexity, in contrast, insists that Comet merely extends user intent and therefore acts within the bounds of legitimate customer activity.
At its core, the dispute raises a new question about digital commerce: when AI agents act on a user’s behalf, who is bound by the platform’s rules—the human user or the AI developer? Amazon frames the issue as one of ecosystem security and service integrity, while Perplexity positions it as a matter of open access and user choice.
Regulators are expected to watch the case closely, particularly under frameworks such as the EU’s Digital Markets Act, where gatekeeper platforms face obligations of neutrality and fair access. Should Amazon proceed to formal litigation, the outcome could set precedent for how digital platforms regulate AI intermediaries.
Beyond its legal implications, the case highlights the growing tension between incumbent platforms seeking to protect their infrastructure and AI innovators pushing for broader interoperability in the emerging agentic economy.