Major US carriers deny using AI to set prices for individual consumers, but Transportation Department and Democrats threaten investigations if they do.United States Transportation Secretary Sean Duffy says there are concerns about the use of artificial intelligence to set personalised airline prices, echoing red flags brought up by three Democratic senators.Duffy on Tuesday promised to investigate any airline that uses the technology to set prices.“To try to individualise pricing on seats based on how much you make or don’t make or who you are, I can guarantee you that we will investigate if anyone does that,” Duffy said.“We would engage very strongly if any company tries to use AI to individually price their seating.”Duffy noted Delta clarified that it would not use AI for pricing individual tickets, “and I’ll take them at face value.”Last week, Delta Air Lines told lawmakers it will not and has not used AI to set prices for individual consumers.Late last month, Democratic Senators Ruben Gallego, Mark Warner and Richard Blumenthal said they believed the Atlanta-based airline would use AI to set individual prices, which would “likely mean fare price increases up to each individual consumer’s personal ‘pain point’”.Delta previously said it plans to deploy AI-based revenue management technology across 20 percent of its domestic network by the end of 2025 in partnership with Fetcherr, an AI pricing company.Fetcherr on …
