US Antitrust, Competition, and Trade Regulation AlertThe use of artificial intelligence (AI) in a company’s work processes is not new. AI has automated, innovated, and optimized a business’s processes and outcomes. In recent years, tech firms and consultants have been touting “surveillance pricing,” offering companies the ability to set “personalized” prices online based on a customer’s ability or willingness to pay, rather than supply and demand. This process ultimately maximizes profit.1 On one hand, this is an example of efficient pricing, on the other, it may be seen as price discrimination. As with many new profit maximization strategies, this practice has received the attention of the Federal Trade Commission (FTC).

Source: Los Angeles Times August 02, 2024 19:16 UTC