The Federal Trade Commission (FTC) in the USA is investigating the practice of "surveillance pricing" to seek more information on how artificial intelligence can quickly change pricing based on customer behavior and feature data.
The FTC stated that many companies use this method to charge different prices to different customers.
The commission has issued mandatory information requests to eight companies. The FTC said these companies are promoting their artificial intelligence and other technology tools, as well as a large amount of customer information, to price different individual customers.
The eight companies are: 1) Mastercard, 2) JPMorgan, 3) Accenture, 4) the consulting giant McKinsey, 5) software company Task, which serves customers such as McDonald's and Starbucks, 6) Revionics, which collaborates with Home Depot, Tractor Supply, and grocery chain Hannaford, 7) Bloomreach, which provides services to FreshDirect, Total Wine, and Puma, and 8) Pros, which was named as Microsoft's annual Internet-related service provider this year.
FTC Chairman Lina Khan said in a press release, "Companies that collect personal data of Americans may put people's privacy at risk. Now, companies may use this vast personal information warehouse to charge people higher prices."
Lina Khan described "surveillance pricing" as a "dark ecosystem of pricing intermediaries."