Perplexity AI, a rapidly growing artificial intelligence startup, is pushing back against a federal lawsuit filed by e-commerce giant Amazon. Amazon sued Perplexity on November 4, 2025, in a San Francisco federal court, seeking to block the startup's AI browser agent, Comet, from making purchases on its platform.^[1][2][3][4] Perplexity CEO Aravind Srinivas quickly condemned Amazon's actions, calling them "bullying" and stating that "Bullying is not innovation."^{[1][5][6][7][8][9][10][11][12]} This legal battle marks a significant clash over the future of AI-powered shopping and how AI agents can interact with major online platforms.^{[1][3][13][14]} ### Perplexity Defends AI User Agents Perplexity argues that its AI browser, Comet, acts as an extension of the user, operating with the same permissions and rights as a human.^[1][9][11] The company states that Comet is not a web crawler or bot that scrapes data for training purposes.^[13][9][11] Instead, it works on the user's explicit behalf, with all login credentials stored securely and locally on the user's device, not on Perplexity's servers.^[2][9][11] Perplexity commercially launched Comet in September 2025, after releasing it for free download in October 2025.^[15][9][16] The AI-first browser integrates Perplexity's search engine directly into the browsing experience, enabling users to perform tasks like summarizing articles, describing images, conducting research, composing emails, and, crucially, making purchases.^{[15][17][16][18]} The company's CEO, Aravind Srinivas, emphasized that consumers should have the freedom to choose their preferred AI assistants for agentic shopping and other tasks.^{[1][6][9][10]} Srinivas told Bloomberg that Amazon's move "just proves Amazon is a bully" and is an attempt to scare disruptive companies.^[3][6][8] Perplexity views the dispute as a critical battle for user rights in the era of agentic AI, where software acts as a personal assistant.^[6][9][12] The company had previously received an "aggressive legal threat" from Amazon, demanding it prohibit Comet users from using their AI assistants on Amazon's platform.^{[5][6][19][7][20][8][11]} Perplexity stated it would not be intimidated and would fight to ensure users can deploy agentic AI to "take control of their digital lives."^[19][8] ### Amazon Alleges Computer Fraud Amazon's lawsuit accuses Perplexity of "computer fraud" and violating its terms of service.^{[1][2][3][4][10][14]} The e-commerce giant alleges that Perplexity's Comet browser and its AI agent disguised automated actions as normal user activity while interacting with its retail platform.^{[2][3][13][7]} Amazon claims this conduct degrades the shopping experience for legitimate users and introduces potential privacy risks.^{[3][13][7][14]} The company's complaint, filed in the US District Court for the Northern District of California, states that Perplexity's tool disrupts efforts to provide personalized services.^[2][13] According to Amazon, its terms of service prohibit "any use of data mining, robots, or similar data gathering and extraction tools."^[1][10][14] Amazon also pointed out that other third-party AI agents working on behalf of human users identify themselves, and Perplexity should do the same.^[19][20] Amazon had previously sent a cease and desist letter to Perplexity in November 2024, instructing the startup to halt its automated shopping capability.^[7][10][14] Perplexity initially complied.^[10][14] However, Amazon claims that by August 2025, Perplexity reactivated Comet's shopping features, with the browser reportedly masquerading as a Google Chrome browser, bypassing Amazon's security measures.^[7][10][14] Amazon stated that Perplexity's "misconduct must end" and that the AI company is "not allowed to go where it has been expressly told it cannot."^[13] ### The Broader Battle for AI Shopping This legal battle underscores a growing tension between established e-commerce platforms and emerging AI companies. Perplexity, valued at approximately $20 billion as of September 2025, sees agentic AI as the natural evolution of online shopping, offering users a more efficient and convenient experience.^{[15][21][22][23][3][24][9][11]} Comet allows users to find products, compare them with similar offerings, and complete purchases automatically.^[5][6] Perplexity alleges that Amazon's opposition stems from a desire to protect its advertising-driven business model, which relies on users browsing sponsored results and product placements.^{[2][5][6][19][20][10][11]} Perplexity argues that easier AI-driven shopping would lead to more transactions and happier customers, but Amazon is more interested in serving ads and influencing purchasing decisions.^[5][20] Amazon, for its part, has invested heavily in its own generative AI shopping tools. The company offers "Rufus," a conversational AI shopping assistant launched in August 2025, which provides product recommendations and answers questions.^[25][26][11] Other Amazon AI initiatives include "Buy For Me," "Interests AI," "Help Me Decide," and "Amazon Lens," all designed to enhance the shopping experience and provide personalized recommendations.^{[25][26][27][28]} Amazon CEO Andy Jassy previously stated that the company had approximately 1,000 generative AI applications under development, with a significant investment in the technology.^[25] The company has also updated its website code to block AI-related crawlers from other companies, including Google and Meta, indicating a broader strategy to control how AI interacts with its platform.^[19][29] The dispute highlights a fundamental question: how much autonomy should AI agents have when performing tasks on behalf of users on third-party platforms? Perplexity views its AI agents as an extension of user choice and freedom.^[1][5] Amazon, however, insists on transparency and adherence to its terms of service to maintain a positive customer experience and protect its platform.^{[1][2][13][19]} The outcome of this lawsuit could set important precedents for the development and deployment of agentic AI in e-commerce and beyond, shaping how consumers interact with online services in the future.^[3][9]