Amazon Accuses Perplexity of Computer Fraud, Demands It Stop AI Agent From Buying On Its Site

Amazon has sent a cease-and-desist letter to Perplexity AI demanding that the AI search startup stop allowing its AI browser agent, Comet, to make purchases online for users. From a report: The e-commerce giant is accusing Perplexity of committing computer fraud by failing to disclose when its AI agent is shopping on a user's behalf, in violation of Amazon's terms of service, according to people familiar with the letter sent on Friday. The document also said Perplexity's tool degraded the Amazon shopping experience and introduced privacy vulnerabilities, said the people, who spoke on condition of anonymity to discuss internal matters.

In response, Perplexity said Amazon is bullying a smaller competitor with a rival AI agent shopping product. The clash between Amazon and Perplexity offers an early glimpse into a looming debate over how to handle the proliferation of so-called AI agents that field more complex tasks online for users, including shopping. Like OpenAI and Alphabet's Google, Perplexity has pushed to rethink the traditional web browser around AI, with the goal of having it streamline more actions for users, such as drafting emails and conducting research.

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