Rep. Frank Pallone Investigates Major Airlines Over 'Surveillance Pricing' Practices
Rep. Frank Pallone Jr. (D-Long Branch) is pressing eight major U.S. airlines to disclose their use of passengers' personal data and artificial intelligence in determining ticket prices. As the ranking Democrat on the House Energy and Commerce Committee, Pallone has initiated a broader investigation into 'surveillance pricing,' a practice where companies use consumer data to set personalized prices. The airlines targeted in this inquiry include Alaska Airlines, American Airlines, Delta Air Lines, Frontier Airlines, Hawaiian Airlines, JetBlue Airways, Southwest Airlines, and United Airlines. Pallone's inquiry seeks to understand if airlines are using personal data such as income, location, and browsing history to influence ticket pricing. The investigation follows allegations that airlines may be using AI to boost revenue at the expense of consumers, with some studies suggesting a potential revenue increase of up to six percent through such practices.