Yeah, from what I remember of what Web 2.0 was, it was services that could be interactive in the browser window, without loading a whole new page each time the user submitted information through HTTP POST. "Ajax" was a hot buzzword among web/tech companies.
Flickr was mind blowing in that you could edit photo captions and titles without navigating away from the page. Gmail could refresh the inbox without reloading the sidebar. Google maps was impressive in that you could drag the map around and zoom within the window, while it fetched the graphical elements necessary on demand.
Or maybe web 2.0 included the ability to implement states in the stateless HTTP protocol. You could log into a page and it would only show you the new/unread items for you personally, rather than showing literally every visitor the exact same thing for the exact same URL.
Social networking became possible with Web 2.0 technologies, but I wouldn't define Web 2.0 as inherently social. User interactions with a service was the core, and whether the service connected user to user through that service's design was kinda beside the point.
Yes, it's the exact same practice.
The main difference, though, is that Amazon as a company doesn't rely on this "just walk out" business in a capacity that is relevant to the overall financial situation of the company. So Amazon churns along, while that one insignificant business unit gets quietly shut down.
For this company in this post, though, they don't have a trillion dollar business subsidizing the losses from this AI scheme.