FTC Probes Algorithmic Pricing and Sues Dollar General
Regulators demand data from Delta, Uber, and others.
By Spark News Desk · · United States
The Federal Trade Commission (FTC) has ordered Delta, United, JetBlue, Lyft, Uber, DoorDash, Instacart, Target, and Walmart to provide data on how they use algorithms and loyalty programs to set different prices for customers and wages for drivers. The inquiry focuses on whether these companies use opaque methods to determine pricing and pay.
Separately, the FTC and 20 states filed a lawsuit against Dollar General, accusing the retailer of charging customers more than advertised prices. The complaint claims the company has received tens of thousands of consumer complaints about this issue and has not implemented sufficient safeguards to prevent it.
Dollar General said it will 'defend this litigation vigorously' and noted that it has cooperated with the FTC's investigation since February. The company claims occasional pricing errors can occur but said store staff are trained to resolve them. The FTC’s actions come amid rising consumer costs and increased political focus on protecting shoppers.
Why it matters
Consumers and gig workers may be affected by pricing practices the FTC is investigating, and the lawsuits could lead to changes in how companies set prices or face legal penalties.
Sources
- FTC orders Delta, Uber and others to hand over data on algorithmic pricing — The Guardian
- FTC and 20 states sue Dollar General, alleging retailer overcharged shoppers — CNBC
Written by the Spark News Desk with AI assistance and checked against the sources above. See our editorial policy. Spotted an error? Tell us.