Amazon has lost its attempt to block Perplexity AI’s shopping tools after a U.S. federal appeals court overturned a lower court order that temporarily barred the AI startup from accessing Amazon through its AI-powered browser. The ruling marks the first U.S. federal appellate decision on whether AI agents can legally interact with password-protected websites on behalf of users, making it a landmark case for the rapidly growing field of agentic AI. The Ninth U.S. Circuit Court of Appeals concluded that Amazon was unlikely to prove Perplexity violated federal anti-hacking laws, allowing the startup’s AI shopping tools to continue operating while the broader lawsuit proceeds.
The dispute centers on Comet, Perplexity’s AI-powered browser, which can log into a user’s Amazon account—with the user’s authorization—to search for products, compare prices, and complete purchases. Amazon argued that the technology unlawfully accessed its systems and posed security risks, while Perplexity maintained that its AI simply acts as an extension of the user, similar to a traditional web browser. The appellate court sided with Perplexity at this stage, finding that it is the user—not the AI company—who accesses Amazon’s platform.
Appeals Court Overturns Amazon’s Injunction
The Ninth Circuit reversed a preliminary injunction that had been granted in Amazon’s favor earlier this year.
The court held that:
- Amazon is unlikely to succeed on its claim under the Computer Fraud and Abuse Act (CFAA).
- Perplexity’s AI tools access Amazon only after receiving authorization from individual users.
- The AI company itself is not independently entering Amazon’s systems without permission.
- The lower court’s injunction should therefore be lifted while litigation continues.
Case Snapshot
| Item | Details |
|---|---|
| Plaintiff | Amazon |
| Defendant | Perplexity AI |
| Technology at Issue | Comet AI browser and shopping agent |
| Court | U.S. Court of Appeals for the Ninth Circuit |
| Outcome | Appeals court overturned preliminary injunction |
What Amazon Alleged
Amazon filed the lawsuit in late 2025, arguing that Perplexity’s AI shopping agent:
- Accessed customers’ password-protected Amazon accounts.
- Ignored technical measures designed to block automated access.
- Created potential security and privacy risks.
- Violated the federal Computer Fraud and Abuse Act.
The company also argued that allowing AI agents unrestricted access could undermine platform security and weaken protections for customer accounts.
Perplexity’s Defense
Perplexity countered that its AI browser functions much like any web browser acting under a user’s instructions.
According to the company:
- Users voluntarily log into their own Amazon accounts.
- The AI simply performs shopping tasks on the user’s behalf.
- Amazon was attempting to restrict competition from AI-powered shopping assistants.
- Preventing AI agents from acting for users would limit consumer choice and innovation.
Why the Decision Matters
The ruling could become one of the most influential legal precedents for AI agents.
Potential implications include:
- Greater legal certainty for AI-powered browsing assistants.
- Stronger support for autonomous shopping agents.
- New questions about platform control over AI services.
- Wider adoption of agentic AI across e-commerce and productivity applications.
Potential Industry Impact
| Stakeholder | Potential Impact |
|---|---|
| AI startups | Greater confidence building agentic AI tools |
| E-commerce platforms | Less control over third-party AI assistants |
| Consumers | More AI-powered shopping and automation options |
| Regulators | Growing need for updated AI and platform access rules |
AI Shopping Competition Is Accelerating
The ruling adds to a string of notable legal decisions touching AI this year, after actor Preity Zinta won Bombay High Court protection from AI deepfakes and identity misuse.
The case comes as AI companies increasingly compete to become the primary interface for online shopping.
Recent developments include:
- AI browsers capable of completing purchases autonomously.
- Shopping assistants that compare products across multiple retailers.
- AI agents that fill carts and execute transactions.
- Growing competition between traditional marketplaces and AI-first search platforms.
Companies including OpenAI, Google, Perplexity, and Amazon are investing heavily in AI agents that can browse websites, retrieve information, and complete complex online tasks with minimal user input.
What Happens Next?
The appeals court’s ruling does not end Amazon’s lawsuit.
Instead:
- Perplexity can continue operating its AI shopping tools while litigation proceeds.
- The underlying legal claims will continue to be heard in federal court.
- Amazon may seek further review or pursue additional legal remedies.
Looking Ahead
The Ninth Circuit’s decision represents a significant early victory for Perplexity and the broader AI agent ecosystem. By concluding that users—not AI providers—are the ones accessing online platforms when acting through authorized AI assistants, the court has provided an important legal interpretation that could influence future disputes involving autonomous digital agents. As AI-powered browsers become increasingly capable of shopping, booking services, and managing online accounts, the ruling may help shape how courts balance innovation, platform security, and user control.
Looking ahead, the case is expected to have implications far beyond Amazon and Perplexity. A final ruling could establish legal standards for how AI agents interact with password-protected websites, affecting e-commerce platforms, software developers, and enterprise AI providers worldwide. With agentic AI emerging as the next major frontier in artificial intelligence, this litigation is likely to become a closely watched benchmark for future platform-access disputes.
Frequently Asked Questions
What did the appeals court rule in the Perplexity-Amazon case?
The Ninth U.S. Circuit Court of Appeals overturned a lower court order that had temporarily barred Perplexity’s AI shopping tools from accessing Amazon, concluding Amazon was unlikely to prove Perplexity violated federal anti-hacking laws.
What did Amazon allege against Perplexity?
Amazon alleged that Perplexity’s AI-powered browser accessed its site in violation of federal anti-hacking laws, seeking to block the AI startup’s shopping tools.
Why is this ruling considered significant for AI?
It is the first U.S. federal appellate decision on whether AI agents can legally interact with password-protected websites on behalf of users, making it a landmark case for agentic AI.
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