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Amazon AI Fraudsters Swindled Millions with Fake ‘Passive Income’ Promises, FTC Claims

The Federal Trade Commission (FTC) announced a lawsuit against an Amazon automation company, Click Profit, accusing it of defrauding investors out of tens of millions of dollars through a deceptive “passive income” scheme. The company, which operated under multiple aliases including FBALaunch, Automation Industries, and PortfolioLaunch, allegedly lured hopeful entrepreneurs with promises of effortless wealth via AI-driven e-commerce storefronts on platforms like Amazon, Walmart, and TikTok.

According to the FTC’s complaint, filed in the U.S. District Court for the Southern District of Florida, Click Profit enticed consumers with bold claims of “insane returns” surpassing the stock market. The company’s co-founder, Craig Emslie, even appeared in flashy TikTok videos, waving stacks of cash alongside an image of Warren Buffett to bolster credibility. Investors were told their online stores would be built and managed entirely by Click Profit’s supposed cutting-edge AI technology, requiring only an upfront payment ranging from $45,000 to $75,000, plus additional inventory costs starting at $10,000. In return, they were promised a slice of the profits—up to 65%—while Click Profit skimmed off as much as 35%.

The reality, however, was far bleaker. The FTC alleges that the touted AI technology and lucrative brand partnerships were fictitious. Most investors saw no returns at all, with Amazon suspending or terminating about 95% of Click Profit’s storefronts for violating seller policies. Data from the complaint reveals a grim picture: over one-fifth of these stores earned zero revenue, while another third scraped by with less than $2,500 in lifetime sales—nowhere near enough to recoup the hefty investments. Many victims were left drowning in credit card debt, stuck with unsold inventory, and facing threats of legal action from Click Profit if they dared to complain publicly.

“They promised a safe, secure, and proven path to wealth,” the FTC stated, pointing to marketing materials that flaunted screenshots of alleged storefronts raking in over $540,000 in a single month. Yet, these claims were a mirage. The agency further alleges that Click Profit dangled the carrot of potential buyouts by venture capital firms at “3-6x multiples,” a tantalizing but baseless hook to reel in more victims.

The fallout has been devastating. Consumers who trusted Click Profit’s pitch found themselves not only out of pocket but also battling the emotional toll of financial ruin. The FTC is now seeking to temporarily shut down the operation and bar its founders—Emslie, Patrick McGeoghean, and two associates—from doing business, marking this case as the latest in a string of crackdowns on e-commerce “automation” scams exploiting the AI hype.

This isn’t the first time such schemes have come under fire. The FTC has been ramping up efforts to dismantle similar operations that prey on the allure of passive income, often fueled by exaggerated claims of AI prowess. For Click Profit’s victims, the promise of financial freedom turned into a costly lesson in deception, leaving them to pick up the pieces while regulators fight to hold the perpetrators accountable.

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Italian Daily Pioneers the Future: Unveils World’s First Fully AI-Crafted Newspaper Edition

The Italian newspaper Il Foglio made history by publishing what it claims is the world’s first newspaper edition entirely generated by artificial intelligence. This groundbreaking move, detailed in a report by The Guardian, marks a bold step into uncharted territory for journalism, blending cutting-edge technology with the age-old craft of news delivery.

The four-page special edition, dubbed Il Foglio AI, was seamlessly integrated into the newspaper’s traditional broadsheet format and hit newsstands and online platforms today. According to Giuliano Ferrara, the founder of Il Foglio, this initiative is more than a stunt—it’s a month-long experiment designed to explore how AI can reshape the way news is produced and consumed. “It will be the first daily newspaper in the world on newsstands created entirely using artificial intelligence,” Ferrara stated, emphasizing that the technology handled every aspect of the publication, from writing articles and crafting headlines to generating quotes and even injecting a dash of irony.

What sets this experiment apart is the minimal role played by human journalists. Ferrara explained that their involvement was limited to posing questions to the AI system and reviewing its responses. The result? A product that mirrors a “real newspaper,” complete with news, debates, and provocative commentary—all conceived by an algorithm. “It is just another [Il] Foglio made with intelligence, don’t call it artificial,” Ferrara quipped, challenging the notion that AI-driven content lacks the soul of human creativity.

This pioneering effort comes at a time when newsrooms worldwide are wrestling with the implications of AI. From automating routine reporting to enhancing investigative journalism, the technology’s potential is vast—yet so are the questions it raises. Il Foglio’s experiment serves as a living laboratory, testing how AI can function in practice while prompting deeper reflection on its impact. “We are forced to ask ourselves questions, not only of a journalistic nature,” Ferrara noted, hinting at the broader ethical and professional dilemmas ahead.

The significance of this milestone lies not just in its novelty but in its timing. As AI tools become more sophisticated, industries beyond journalism—from entertainment to education—are feeling the ripple effects. For Il Foglio, a conservative-leaning daily known for its sharp commentary, this venture could redefine its identity and influence how others in the field adapt to the digital age.

While the edition’s reception remains to be fully gauged, its debut underscores a pivotal moment: the intersection of human ingenuity and machine intelligence. Whether this marks the dawn of a new era in journalism or a cautionary tale of over-reliance on technology, Il Foglio has undeniably set the stage for a global conversation. As Ferrara’s experiment unfolds over the coming weeks, the world will be watching to see if AI can truly capture the nuance, wit, and grit of a newspaper—or if the human touch remains irreplaceable.

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Other AI News Today

Nvidia’s GTC 2025 Kicks Off with Major AI Focus

• Nvidia’s annual GPU Technology Conference (GTC) begins today in San Jose, California, drawing over 25,000 attendees. CEO Jensen Huang’s keynote address at 1 p.m. ET is expected to unveil details about Nvidia’s latest AI chip advancements, reinforcing its dominance in the AI hardware space amid growing competition. The event is being hailed as a pivotal moment for the AI industry, with investors and tech leaders eagerly anticipating new announcements.

DeepSeek Faces U.S. Government Ban

• The U.S. Commerce Department has banned the Chinese AI model DeepSeek on government devices, citing security concerns over potential data sharing with the Chinese Communist Party. This follows recent legislative efforts by Congressmen Josh Gottheimer and Darin LaHood to restrict its use, highlighting escalating tensions in the U.S.-China AI rivalry.

Intel’s New CEO Signals AI and Manufacturing Overhaul

• Intel’s incoming CEO, Lip-Bu Tan, is set to implement significant changes to the company’s AI strategies and chip manufacturing processes starting today, his official return date. This move aims to revitalize the struggling tech giant and has already boosted Intel’s stock by 8%, signaling market optimism.

Google’s AI Satellite Targets Wildfires

• Google has announced a new AI-powered satellite initiative to detect wildfires early, enhancing environmental monitoring capabilities. Launched as part of today’s AI developments, this project underscores the growing application of AI in addressing climate challenges.

Zoom’s AI Companion Goes Agentic

• Zoom has upgraded its AI Companion with agentic capabilities, enabling it to perform more autonomous tasks during virtual meetings. This advancement, reported today, reflects the trend of integrating sophisticated AI agents into everyday business tools.

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Business Tip of the Day

Real Passive Income Ideas Using AI: Unlock Financial Freedom with Technology

Imagine earning money while you sleep—passive income is the dream for many, and artificial intelligence (AI) is making it more achievable than ever. AI tools are revolutionizing how we generate income with minimal ongoing effort, from stock and crypto trading to blogging and beyond. In this blog post, I’ll dive into practical, AI-powered strategies to build passive income streams, including stock trading, crypto trading, blogs, and other creative ideas. Whether you’re a beginner or a seasoned entrepreneur, these insights will help you harness AI for financial growth—plus, I’ll highlight the tools, risks, and tips to get started.

What Is Passive Income, and How Does AI Fit In?

Passive income is money earned with little daily effort after an initial investment of time, money, or both. Think rental properties or dividends, but now picture AI as your tireless assistant, automating tasks and optimizing results. Research shows AI can enhance income generation by analyzing data, executing trades, and creating content at scale. However, it’s not a magic bullet—success requires setup, monitoring, and an understanding of risks like market volatility. Let’s explore how AI can turn this concept into reality.

AI-Powered Stock Trading: Let Algorithms Work the Market

Stock trading can be a goldmine for passive income, and AI takes it to the next level by automating decisions. AI tools analyze market trends, predict price movements, and execute trades, letting you earn profits without constant oversight.

How It Works: Set up an AI trading system with your preferred strategy—say, momentum or value investing—and let it scan stocks and trade 24/7. After the initial configuration, your involvement drops to occasional check-ins.

Top Tools:

• Trade Ideas: Known for AI-driven scanning and backtesting, it’s perfect for spotting opportunities. Plans start at $127/month.

  • Tickeron: Offers free and paid AI screeners, plus a chatbot for investment advice, with customizable forecasts.

  • TrendSpider: Simplifies technical analysis with automation, starting at $39/month.

• Why It’s Passive: Once your strategy is set, the AI handles the heavy lifting, potentially earning you dividends or capital gains.

• Heads-Up: Markets can be unpredictable, so start small and monitor performance. No tool guarantees profits, but the right setup can tilt the odds in your favor.

Crypto Trading with AI: Cash In on 24/7 Markets

Cryptocurrency’s wild swings make it a prime candidate for AI automation. Trading bots can buy low and sell high around the clock, turning volatility into passive income.

How It Works: AI bots like those on Cryptohopper analyze crypto prices, execute trades based on your rules (e.g., grid trading), and adapt to market shifts—all while you sip coffee.

Top Tools:

• Cryptohopper: Connects to exchanges like Binance, with plans from $19/month and a marketplace for pre-built strategies.

  • 3Commas: User-friendly bots and portfolio tools, starting at $14.50/month, great for beginners.

  • HaasOnline: Advanced scripting for pros, priced at $59/month, with robust backtesting.

• Why It’s Passive: The crypto market never sleeps, and neither do these bots, potentially stacking profits over time.

• Heads-Up: Volatility cuts both ways—gains can be huge, but so can losses. Research your bot and test with small amounts first.

Blogging with AI: Build a Content Cash Machine

Blogging has long been a passive income staple, earning through ads, affiliates, or products. AI supercharges this by automating content creation and optimization, letting your site hum along with less effort.

How It Works: Use AI to write posts, tweak them for SEO, and analyze audience data. Once your blog gains traffic, income from ads (like Google AdSense) or affiliate links (e.g., Amazon Associates) flows in.

Top Tools:

• Copy.ai: Generates blog drafts and headlines, with unlimited plans at $36/month.

  • Jasper: Crafts SEO-friendly content with templates, starting at $49/month.

  • ClickUp Brain: Combines AI writing with project management, from $5/user/month.

Why It’s Passive: After setup—picking a niche, posting content, and monetizing—traffic drives revenue with minimal upkeep.

Heads-Up: Building an audience takes time, and search engine updates can shift traffic. Consistency and quality are key.

Beyond the Basics: More AI Passive Income Ideas

AI’s versatility opens up a treasure trove of other income streams. Here are some creative ways to leverage it:

• Digital Products: Write e-books or courses with AI (e.g., Copy.ai) and sell them on Amazon Kindle or Udemy. A one-time effort can yield ongoing royalties.

• Affiliate Marketing: Use AI to pick high-performing products and optimize promos for sites like ClickBank, earning commissions passively.

• YouTube Channels: Script videos with AI tools like ClickUp Brain, edit with AI-powered software, and monetize via ads or memberships as views roll in.

• Rental Properties: Optimize pricing and bookings with AI algorithms, cutting management time while boosting rental income.

• SaaS Tools △: Build an AI-driven service—like a chatbot or scheduler—and charge subscriptions. Launch it, market it, and watch recurring revenue grow.

Risks to Watch Out For

AI makes passive income easier, but it’s not risk-free. Trading can tank in volatile markets, blogs need traffic to pay off, and scams (like the recent FTC case against Click Profit) highlight the need for caution. Always research tools, start small, and expect some trial and error—no income stream is 100% hands-off or guaranteed.

How to Get Started Today

Ready to dive in? Here’s your game plan:

1. Pick Your Path: Choose one idea—say, crypto trading or blogging—based on your interests and budget.

2. Research Tools: Check reviews (e.g., Trade Ideas feedback) and start with affordable plans.

3. Test Small: Invest minimal time or money upfront—like $100 in a trading bot or one AI-written blog post—to gauge results.

4. Monitor and Tweak: Check performance weekly, adjusting strategies as needed.

5. Scale Up: Once you’re profitable, reinvest to grow your income stream.

Final Thoughts: AI as Your Passive Income Partner

AI is rewriting the rules of passive income, offering tools to automate stock trading, crypto profits, blogging, and more. Platforms like Trade Ideas, Cryptohopper, and Copy.ai are leading the charge, helping you build wealth with less grind. The evidence is clear: AI can reduce effort and boost efficiency—but success hinges on smart setup and realistic expectations. So, why wait? Pick a strategy, grab an AI tool, and start building your financial future today.

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Cheers,

Darius @ SumoGrowth