The Federal Trade Commission (FTC) has issued orders to major companies including Walmart, Delta Air Lines, Target, and JetBlue, demanding detailed information on how they utilize personal consumer data to set prices. The agency is also examining how ride-sharing and delivery platforms like Uber, Lyft, DoorDash, and Instacart use their independent drivers' personal data to determine compensation rates.
"We intend to scrutinize the opaque methodology that some companies in these industries may be using to determine how much consumers pay or how much gig workers are paid for the same product or service," FTC Chairman Andrew Ferguson stated. The orders aim to assess whether pricing for tickets, rides, food delivery, and other goods and services varies among individuals based on factors such as loyalty program participation or data analysis. The FTC is also investigating if companies compensate workers based on personal data, such as phone usage or acceptance history of rides or deliveries.
Companies that fail to comply with the FTC's data requests could face legal action in federal court to compel compliance. Several companies have responded to the FTC's inquiry. Delta stated it has "zero tolerance for discriminatory or predatory pricing" and asserted that it does not use individual customer data to set prices. JetBlue similarly stated that fares are determined by demand and seat availability, and all customers have access to the same prices, without the use of personal information. Walmart's CEO previously stated the retailer does not use personal information to set prices and will not do so in the future.
The FTC's actions come amid growing consumer concerns about pricing technology and the use of artificial intelligence to collect extensive data. Legislators in at least 30 states have considered pricing-related bills this year. In August, the FTC proposed a policy requiring businesses to clearly disclose if they engage in personalized pricing and share the types of data used. The comment period for this policy has been extended to November 21.
A preliminary FTC report filed in January 2025 indicated that grocers, clothing companies, and others were employing third-party firms to individualize online prices based on shopper location, browsing history, and other data. However, FTC Chairman Ferguson has suggested that this report was rushed and that the commission should have directly requested data from companies instead of focusing on intermediaries.