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Delta Air confirms no AI personalized pricing

Delta Air Lines will not use AI for setting personalized ticket prices in response to public concern.

August 2, 2025 at 11:13 PM
blur Delta Air assures US lawmakers it will not personalize fares using AI

Delta Air Lines committed to not using AI for personalized pricing after criticism.

Delta Air pledges against AI-driven personalized ticket pricing

Delta Air Lines announced on Friday that it will not employ artificial intelligence to create personalized ticket prices for passengers. This decision follows pressure from U.S. lawmakers and widespread public concern. Recently, Democratic Senators Ruben Gallego, Mark Warner, and Richard Blumenthal raised alarms over the potential for AI to induce pricing increases aligned with individual customers’ financial sensitivities. Delta clarified it does not currently utilize AI for setting individual prices, although it plans to incorporate AI technology in some aspects of revenue management by 2025. The airline emphasized its pricing strategy does not consider individual customer data. However, lawmakers expressed lingering uncertainties about the data Delta uses to determine its fares, prompting calls for greater transparency. Similar sentiments were echoed by American Airlines CEO Robert Isom, warning that price-setting based on AI could damage customer trust. Additionally, new legislation has been proposed to prohibit the use of personal data in price determinations by airlines, highlighting ongoing concerns about consumer privacy in the competitive airline market.

Key Takeaways

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Delta Air Lines will not use AI for personalized ticket pricing.
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Criticism from lawmakers prompted this assurance.
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Senators remain concerned about the type of data collected.
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Dynamic pricing has been used by airlines for decades.
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Legislation is being proposed to curb AI-driven pricing.
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Consumer trust is a vital issue in the aviation industry.

"There is no fare product Delta has ever used that targets customers with individualized prices based on personal data."

This statement from Delta reinforces its commitment against the use of AI for personalized pricing, addressing public concerns.

"If Delta is using aggregated instead of individualized data, that is welcome news."

Senator Gallego's comment highlights the importance of data transparency in pricing issues.

"This is not about tricking. From American, it's not something we will do."

American Airlines' CEO emphasizes the commitment to ethical pricing practices without AI manipulation.

"The use of new technology like AI promises to streamline the process by which we analyze existing data."

Delta's explanation of AI as a tool for market response rather than personal pricing shows a cautious approach.

Delta Air Lines' vow not to use AI for personalized ticket pricing serves as a crucial response to growing public and legislative scrutiny. The airline's commitment aims to restore consumer trust in a landscape where personalization often raises ethical questions. While adaptive pricing has been a long-standing practice in the airline industry, the potential misuse of personal data remains a pressing issue. By distancing itself from the controversial practice of personalized pricing through AI, Delta not only mitigates backlash but also aligns itself with consumer expectations for fairness and transparency. With AI technology becoming integral to business strategies in various sectors, how companies manage this tool without stepping into ethical dilemmas will define their reputations moving forward.

Highlights

  • Delta's commitment reflects a broader demand for fair pricing.
  • Restoring consumer trust in airlines is a pressing need.
  • AI technology raises ethical questions in pricing strategies.
  • Legislation aims to protect consumer data in pricing decisions.

Concerns over AI-driven pricing transparency

Despite Delta's pledge, lawmakers still worry about the airline's data practices, which may influence pricing strategies. New legislation seeks to protect consumers.

As the airline industry navigates technological advancements, transparency will remain key in maintaining consumer confidence.

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