In a move that has sent shockwaves through the digital advertising world, Amazon has completely withdrawn from Google Shopping, abandoning its commanding 60% impression share in the US market. This strategic retreat, executed within just 48 hours in late July 2025, represents one of the most significant shifts in retail advertising history.
The exit wasn’t impulsive—Amazon had been testing the waters by cutting its Google Shopping spend by 50% in May 2025 before making the full withdrawal globally. The decision signals Amazon’s confidence in its own ecosystem, which now processes over 4 billion product searches monthly, positioning it as the world’s second-largest search engine.
For competitors, this creates an unprecedented opportunity. With Amazon’s massive budget no longer inflating auction prices, brands are seeing immediate benefits: lower cost-per-click rates, increased visibility, and improved return on ad spend. The sudden vacuum has created what industry experts call a “gold rush” moment for savvy advertisers.
The strategic implications extend beyond immediate cost savings. Amazon’s move demonstrates a broader shift toward first-party data ownership and direct customer relationships. By cutting ties with Google, Amazon retains complete control over customer acquisition data—invaluable in today’s privacy-first digital environment.
This withdrawal also positions Amazon as a true competitor to Google rather than a dependent partner. With innovations like multimodal search combining text and image queries, AR shopping features, and its advanced A10 algorithm, Amazon is building a comprehensive retail search ecosystem that challenges Google’s traditional dominance.
For brands previously overshadowed by Amazon’s aggressive bidding, this represents a rare chance to capture market share while costs remain low. However, experts warn this opportunity window may be temporary, making immediate action crucial for maximizing the advantage.