Delta’s AI pricing prompting consumer protection bill from Utah lawmaker

  • A Utah lawmaker proposes a bill to prevent price discrimination based on a consumer’s personal data.
  • Delta’s AI pricing plans face criticism over potential privacy and fairness issues.
  • The bill aims to protect consumers by requiring consent for personalized pricing.

SALT LAKE CITY — A Utah lawmaker is seeking to prevent companies from setting prices for individuals based on their personal data, after Delta Air Lines announced it would use artificial intelligence to set some airfares.

The announcement from Delta, which has a hub in Salt Lake City, has received criticism from some on both sides of the political aisle, many of whom fear the troves of personal data available on many consumers could allow companies to price discriminate based on personal information. Delta plans to have 20% of its ticket prices set individually, using AI, by the end of the year to maximize what individual flyers are willing to pay, according to Fortune.

Airlines and other companies have used dynamic pricing for decades — it’s more expensive to fly over the holidays or to see a movie on a Friday night — but many worry that companies could take advantage of consumers by using artificial intelligence to comb through online data of individual customers…

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