Democrats Congress Greg Kaiser introduced the bill to ban the AI-operated price; Slam ‘monitoring pricing’; Republican wants support
American Congress Greg Kaiser has introduced a new bill, which he calls “AI-operated price gaugeing”. The bill, called Stop AI Price Gauzing and Wage Fixing Act 2025, targets companies that use personal data to charge different prices for customers for the same product, a growing trend known as monitoring pricing. A Democrat Kaiser from Texas says that tech companies are going far away by spying on people’s habits and financial history. NBC News said, “Prices should be based on supply and demand and should be based on how much it costs to make and sell something, not you are based on spying on you and using your personal data.” The step recently follows the Federal Trade Commission (FTC) report, which found that companies were using users browser history, GPS location and shopping behavior to quietly adjust the prices. Practice in e-commerce is common, and is often powered by artificial intelligence.The FTC study, which was released in January just before President Biden left the post, revealed that MasterCard, JP Morgan Chase, Accenture and McKinssey were among those who fed the AI system with consumer data. FTC chair Leena Khan called the system a “black box”, where users do not even know that they are being charged more on the basis of hidden profiles. Kaiser’s bill will also ban companies from using AI to determine wages based on personal financial data rather than job performance. Many American states are also breaking up. New York passed a law, which requires businesses to inform customers when prices are determined using algorithms. California may soon follow. But Kaiser’s bill is the first push for the national ban. The House is going to go on a holiday, so the bill will not run before September. But Kaiser hopes that both sides may follow it. He said, “You do not have to be a progressive democrats to say that in the world of technology, these huge corporations should not spy on us and then use it that they learn to keep it in AI and make our lives more expensive,” he said.
