Tech and retail giant Amazon agreed to pay billions of dollars in refunds and penalties to settle allegations of "deceptive" practices involving the Prime subscription service, the government said Thursday. https://t.co/SCxI1T4N13 ...

Amazon has agreed to pay $2.5bn in fines and redress to Prime subscribers to settle a lawsuit by the US Federal Trade Commission (FTC), which accused the retail giant of signing users up for the service without their consent and making it difficult to cancel.In a statement, the FTC said $1.5bn of the total will go into a fund to repay eligible subscribers.Amazon has been contacted for comment.The FTC – the US agency charged with consumer protection - sued Amazon in 2023, accusing the company of enrolling te ...

Core Viewpoint - Amazon is currently experiencing slower growth in its cloud computing division compared to competitors, but it is expected to outperform Nvidia and Palantir by 2030 due to its dual growth engines in cloud computing and e-commerce [2][13]. Cloud Computing Performance - Amazon Web Services (AWS) reported a revenue growth of 17.5% to $30.9 billion in Q2, with an annualized rate of $123.6 billion, which is significantly slower than Microsoft Azure's 34% growth [4][5]. - AWS maintains a strong relationship with Anthropic, which is valued at nearly $200 billion and has committed billions to AWS, potentially accelerating revenue growth for the division [6][7]. - AWS's operating income was $43 billion over the last 12 months and is projected to approach $100 billion by 2030 [7]. E-commerce and Retail Growth - North American e-commerce sales grew by 11% last quarter to $100 billion, totaling $404 billion over the last 12 months, while international sales reached $150 billion [9]. - Advertising services are driving a 22% growth, contributing to margin expansion, with North American retail operating margins at 7% and international at 3.4% [10]. - Future investments in projects like Alexa and Project Kuiper are expected to enhance profit margins, with North American margins projected to reach at least 15% and international margins at 10% by 2030 [11]. Competitive Positioning - Amazon has two significant growth engines: cloud computing and e-commerce, allowing for substantial market expansion despite current revenues exceeding $670 billion [14]. - Amazon is reducing its reliance on Nvidia by increasing the capacity of its own Trainium chip, which is expected to take market share from Nvidia [15]. - Amazon's forward price-to-earnings ratio is 33, significantly lower than Nvidia's 41 and Palantir's 278, making it a more attractive investment option [15][16].