In January 2025, Honey co-founder Ryan Hudson broke his silence on allegations of cookie hijacking, defending the company’s practices in a Reddit AMA. The controversy began in December 2024 after YouTuber MegaLag accused Honey of manipulating discount codes and diverting affiliate commissions from creators.

Hudson denied the claims, stating Honey never suppressed better discounts and always prioritized fair attribution. He argued that criticisms stemmed from misunderstandings of affiliate tracking, shifting blame to the industry’s reliance on last-click attribution rather than Honey’s actions.

Despite his defense, Honey lost 15% of its users (3 million) within weeks. Regulatory backlash followed, with Google updating Chrome extension policies to ban undisclosed affiliate commission claims – forcing Honey to adjust its practices.

Hudson’s new venture, PIE, aims to reform digital advertising, but skeptics question whether it addresses past transparency issues. Meanwhile, lawsuits and policy changes signal a broader reckoning for affiliate marketing, challenging outdated attribution models and demanding clearer ethics.

The Honey controversy marks a turning point, highlighting tensions between tech-driven commerce and ethical responsibility. While Hudson stands by Honey’s legacy, the market’s response suggests a shift toward greater accountability in affiliate marketing.