Amazon Halts Google Shopping Ads, Cuts 50% Budget

Amazon, the e-commerce giant, has ceased advertising on Google Shopping, the e-commerce platform owned by Google. This move, which was first noticed last week, indicates that Amazon has withdrawn from Google Shopping's ad auction. The change was confirmed by Mike Ryan, the e-commerce insights manager at Smarter Ecommerce, who noted that Amazon's name had disappeared from the "auction insights" section of Google Shopping.

This decision by Amazon to halt its advertising on Google Shopping comes after a significant reduction in its advertising budget for the platform. In May 2025, Amazon had already cut its Google Shopping ad budget by 50% in the U.S. market, a move that many saw as a precursor to a full withdrawal. Despite this, Amazon had continued to engage with Google's ecosystem, including partnerships and collaborations, until recently.

The withdrawal of Amazon from Google Shopping is a significant development in the e-commerce landscape. Google Shopping has been a key platform for Amazon to reach a broader audience and drive sales. By ceasing its advertising on the platform, Amazon is likely to focus more on its own advertising channels and platforms, such as Amazon Advertising and Amazon DSP (Demand-Side Platform). This shift could lead to increased competition among e-commerce platforms and advertisers, as Amazon seeks to capture a larger share of the online advertising market.

The move by Amazon also highlights the evolving relationship between the two tech giants. While Amazon and Google have had a complex and often contentious relationship, they have also collaborated on various projects and initiatives. The withdrawal of Amazon from Google Shopping could signal a shift in their strategic partnership, with Amazon looking to reduce its dependence on Google's advertising platform.

The decision by Amazon to halt its advertising on Google Shopping is likely to have implications for both companies. For Amazon, the move could lead to increased costs and challenges in reaching a broader audience. However, it could also provide opportunities for the company to innovate and develop new advertising strategies. For Google, the withdrawal of Amazon from its advertising platform could result in a loss of revenue and market share, as Amazon is one of the largest advertisers on Google Shopping. However, it could also provide an opportunity for Google to attract new advertisers and expand its advertising offerings.

In conclusion, the withdrawal of Amazon from Google Shopping is a significant development in the e-commerce landscape. The move highlights the evolving relationship between the two tech giants and could have implications for both companies. As the e-commerce market continues to grow and evolve, it will be interesting to see how Amazon and Google adapt to these changes and compete for market share.