lina khan

FTC sues Amazon Prime for being too affordable and too convenient for consumers 

WASHINGTON, D.C. – On Wednesday, it was reported that the Federal Trade Commission has filed a lawsuit against the tech firm Amazon, claiming that its Prime subscription has “tricked” unwitting consumers by offering lower prices and faster delivery for customers who sign up for the service. The suit claims the company has “trapped” customers into Prime subscriptions.

Yaël Ossowski, deputy director of the Consumer Choice Center reacted to the lawsuit:

“Consumers know they’re getting a myriad of benefits with their Prime subscription they can cancel at anytime, whether that’s faster delivery, cheaper prices, or bundled services like data storage and content streaming. That’s what consumers want.

“That the FTC would waste their resources going after an innovative company that consistently offers value for consumers reveals more about the agency’s political grudge than any perceived harm to consumers. Consumers have overwhelmingly had their welfare increased because of Amazon’s products and services.

“Behind the U.S. military, Amazon is the most favorable institution in the country, mainly because millions of consumers have had experience with Amazon’s platform, have been employed by the company, or have used their services in any way,” said Ossowski.

“It is well known FTC Chair Lina Khan has spent her career trying to build an antitrust lawsuit against Amazon, as is revealed in her 2017 article on “Amazon’s Antitrust Paradox”, but those efforts fall flat with consumers who benefit and appreciate their services.”

“Consumers have voted with their wallets when it comes to Amazon’s services, including Amazon Prime. That an agency of the federal government would spend valuable time and resources trying to punish a company for offering too many affordable products and services in a unique way only seems laughable,” added Ossowski.

The CCC represents consumers in over 100 countries across the globe. We closely monitor regulatory trends in Ottawa, Washington, Brussels, Geneva, Lima, Brasilia, and other hotspots of regulation and inform and activate consumers to fight for #ConsumerChoice. Learn more at consumerchoicecenter.org.

**Please send media inquiries to yael@consumerchoicecenter.org.***

FTC Chair Lina Khan’s social media crusade is now just an expensive, taxing grudge against consumers who want cool tech

Red X on all your apps (generated by Midjourney AI)

WASHINGTON, D.C. – Extending its crusade against select social media firms, the Federal Trade Commission proposed several scathing amendments to a 2020-era privacy order with Meta on Wednesday, hoping to issue a blanket ban on “monetizing” youth data, a halt on all new innovations or product upgrades, and key criteria on privacy provisions.

The FTC has already attempted to halt several high-profile acquisitions by tech firms since Lina Khan’s ascension to FTC chair, including Microsoft’s purchase of video game company Activision, and Meta’s acquisition of the VR fitness app Within.

Yaël Ossowski, deputy director of the consumer advocacy group Consumer Choice Center, responds:

“These retaliatory actions prove the FTC is now subsumed by a hyperactive crusade against all mergers and acquisitions – and effectively consumer choice, especially when it comes to new technologies. This has a chilling effect on any and all new innovators and remains incredibly paternalistic to tech-native consumers who want robust competition.

“Business models come and go, and consumers should be the ones rewarding or punishing firms and services they want or don’t want to use, not the federal agencies temporarily in charge of competition policy,” added Ossowski.

The accusations by the competition agency that Meta has failed with respect to privacy also seem a bridge too far, especially considering the convoluted patchwork of state privacy laws and federal agency mandates that exist in lieu of a comprehensive federal law to safeguard consumer privacy.

“As consumer advocates, we regard privacy and data security as the most fundamental elements of a consumer’s online experience. But while there are true bad actors that exist and are actively committing offenses right now, the FTC is dead-set on pursuing an ideological agenda against a handful of American tech innovators, all the while excusing or remaining blind to the real privacy violations committed by foreign apps that have much larger reach and sway among young people.

“The FTC’s social media crusade is now just an expensive, taxing grudge against consumers who want cool tech. Consumers would prefer the agency punish bad actors and bad behavior rather than corner American tech companies into a labyrinth of compliance no one could ever reasonably pass.

“We as consumers deserve a vibrant online marketplace where the winners are chosen by us instead of whichever political faction happens to control a federal agency,” concluded Ossowski.


The Consumer Choice Center is an independent, non-partisan consumer advocacy group championing the benefits of freedom of choice, innovation, and abundance in everyday life.

We champion smart policies that are fit for growth, promote lifestyle choice, and embrace tech innovation for tens of thousands of our members and society-at-large, using research and educational outreach to policymakers and the broader public. Learn more at consumerchoicecenter.org.

Where is the FTC’s privacy report?

Data privacy is a fundamental liberal democratic principle for citizens + consumers.

In December 2020, the Federal Trade Commission ordered security and privacy data from Big Tech firms to inform potential future rules that would impact all consumers.

It’s nearly November 2022 but we still have NO report. Why?

We know that our interactions with companies and government involve privacy trade-offs that we must weigh individually. That’s what informed consumer choice is all about, and why we fight for smart data and privacy rules

Enough with data leaks/hacks!

We need smart data and privacy rules that can:
💡Champion Innovation
🛡Defend Portability
📲Allow Interoperability
👨‍💻Embrace Technological Neutrality
👩‍⚖️Avoid patchwork legislation
🔒Promote strong encryption

Learn more! 👇

Originally tweeted by Consumer Choice Center (@ConsumerChoiceC) on April 21, 2021.

The FTC began its 2020 investigation into data practices from major tech companies to try to understand their algorithms, data collection, and monetization. Tech firms provided this within 45 days.

But still no FTC report.

In August 2022, FTC called for public comments on commercial data practices and surveillance by tech firms, presumably informed by the data they collected and analyzed in their report.

But still no FTC report.

Maybe that’s why the deadline was pushed from October 20 to November 21, the week of Thanksgiving…

By then, will American consumers and citizens have access to the FCC report?

The FTC is asking for citizen comments on the data practices of tech firms, we deserve to know what’s in the report they’ve been cooking up for nearly 2 years.

As Joel Thayer writes, it’s an absolute failure that a major agency has fallen behind on this task, especially considering their ream of lawsuits and actions against these same tech companies.

If the FTC wants to empower consumers and provide a framework that we can debate, it needs to prove it. While data and consumer privacy are vital for consumers and innovators, we know this FTC chair has an agenda that will have sweeping ramifications.

FTC Chair Lina Khan has aimed to stop mergers and acquisitions and issued record fines on tech companies against the advice of her own staff. If FTC wants to invoke consumer privacy as another regulatory hammer, consumers deserve a say.

In our view, consumer and data privacy rules must provide balance and protection:

  • Champion Innovation
  • Defend Portability
  • Allow Interoperability
  • Embrace Technological Neutrality
  • Avoid patchwork legislation
  • Promote and allow strong encryption

Anyone who wants to submit a comment to the FTC on their “Trade Regulation Rule on Commercial Surveillance and Data Security” — even without the report — should submit one here.

Scroll to top