Outrage Grows as Delta to Price Tickets Based on What AI Thinks You'll Pay
Source: Newsweek
Published Jul 22, 2025 at 10:24 AM EDT
Three U.S. senators are demanding answers over Delta Air Lines' planned expansion to use artificial intelligence to set individualized fares insisting the strategy is fraught with privacy concerns.
Sens. Ruben Gallego, Richard Blumenthal and Mark Warner, all Democrats, sent a letter Monday to the Atlanta-based airline seeking additional details of plans to deploy AI-based revenue management technology across 20 percent of its domestic network in a matter of months.
"Individualized pricing, or surveillance-based price setting, eliminates a fixed or static price in favor of prices that are tailored to an individual consumer's willingness to pay," the senators wrote to Delta in a letter obtained by Newsweek.
"Delta's current and planned individualized pricing practices not only present data privacy concerns, but will also likely mean fare price increases up to each individual consumer's personal 'pain point' at a time when American families are already struggling with rising costs."
Read more: https://www.newsweek.com/senators-want-answers-delta-ai-powered-pricing-plan-2102358
Link to Senator Gallego PRESS RELEASE - Gallego, Colleagues Demand Answers from Delta CEO as Company Moves Toward AI Pricing Model to Set Airfares
Link to LETTER (PDF) - https://www.gallego.senate.gov/wp-content/uploads/2025/07/Delta-AI-Letter.pdf

S/V Loner
(9,410 posts)your credit score. High score high ticket price. Assumption will be that you can afford it.
creon
(1,752 posts)What is in the AI program?
Bernardo de La Paz
(57,199 posts)A whole bunch (often millions) of artificial neurons, their weights as an array, input and output arrays, perhaps some gating and some convolution filters, a training regimen.
I don't think you knew that.
As much as we can say AI is GIGO we can say child-rearing is GIGO, education is GIGO, and confirmation bias in DU posts is GIGO.
Bread and Circuses
(924 posts)hunter
(39,676 posts)I'm ready to go as soon as their check clears.
iemanja
(56,283 posts)Amazon got in trouble for it a few years ago.
Native
(7,194 posts)for example, if a company offers a senior discount, nonseniors who ask for those discounts have to legally be be given them. Business Law 101. This is called pricing discrimination, and it is illegal.
24601
(4,093 posts)Adjusted Gross Income (MAGI) increases beyond set amounts, you are charged an Income-Related Monthly Adjustment Amount (IRMAA). There is no increased benefit, just an increased cost. And it's backdated two years.
https://www.edwardjones.com/us-en/market-news-insights/guidance-perspective/act-now-save-medicare-later
Native
(7,194 posts)intrepidity
(8,367 posts)How do I ask for such a discount, and what do I say when they decline? (eg, around here they offer discounts to military, which I am not, and say you need to show ID)
Native
(7,194 posts)state laws, federal laws, civil rights laws...it's very complicated. Price discrimination is regulated in many ways...
but no one is going to take Dunkin Donuts to court because they are giving seniors and the military 10% off a donut and coffee, simply because it's not harming their competitors.
That said, years ago, one of our chain stores was offering a very significant discount for seniors on a certain day at a certain time, and I contacted corporate and complained (I wasn't eligible), and they sent me a letter that I could produce at the local store to qualify for that discount. Shortly thereafter they discontinued it, and changed it to a standard senior discount that was nominal.
If DELTA pulls this off, I'll be very surprised. Dynamic pricing is bad enough, but this is definitely over the line.
While military and senior discounts are price discrimination, they've been acceptable for a long time because they are generally so small they aren't causing any harm. Price discrimination based on sex (ladies' nights) or race are more problematic because of civil rights laws.
Marthe48
(21,293 posts)I will pay zero to fly with delta
Karasu
(1,654 posts)Last edited Tue Jul 22, 2025, 09:54 PM - Edit history (1)
be nipped in the bud NOW.
Or very soon, this model is going to be applied to fucking everything. The tiny shred of "humanity" still left in capitalism will be completely fucking gone.
SoFlaBro
(3,579 posts)EarthFirst
(3,742 posts)AI would know that without hesitation they would spend $800 on a same day cross-country flight to be with them; would surely would pay $1050 and return queries for flights at the higher price point
Of course; thats never what theyll admit; but who would know?
Bernardo de La Paz
(57,199 posts)Hornedfrog2000
(380 posts)Lol. You dont. They know where we go, who our family is, what we buy, eat, etc. They literally advertise to pregnant mothers they need lotions for stretch marks early, or that you are going to need formula and dipers towards the end of your pregnancy.
You do not know.
Bernardo de La Paz
(57,199 posts)Able gets a phone call from his sister Baker and ten minutes later searches for a same day flight to Charleston. No connection to a transient ischemic attack in someone's brain.
The airline pricing is not done by super-sophisticated tracking with dozens or hundreds of online "partners" even though they have dozens or hundreds of online partners. It is done simply by things like Able looks at prices for a flight and after a pause of ten minutes is back on the site looking for seating availability.
Your point is well taken for ordinary events, long duration events. But it does require people giving them data. Not everyone gives them data.
intrepidity
(8,367 posts)but that the person was willing to pay a higher price due to mitigating circumstances, and so will be considered a soft mark for future tix prices.
msongs
(71,827 posts)just during the short walk to the counter.
ProudMNDemocrat
(19,913 posts)Since my husband died, I have NO credit rating as I had to close our CC accounts.
I will not be choosing Delta in the future. I have a trip planned in January to Hawaii that is paid for that I had to cancel. That is with Southwest. Of course, the baggage fees will be added.
dlk
(12,793 posts)Dreaming up new and novel ways to wring every last dollar from their customers. I would never fly on such an airline, ever!
dobleremolque
(1,031 posts)figures out how to apply this AI technology to campaign contributions? But in reverse.... as in, how little can they give to bend any particular politician to the will of the oligarchy?
Edited to add: This isn't really a new concept. It's been applied to taxation for centuries. Jean Baptiste Colbert, finance minister to King Louis XIV of France is credited with saying that: "The art of taxation consists of so plucking the goose as to acquire the greatest amount of feathers with the least amount of hissing."
FakeNoose
(37,948 posts)Nobody would be charged this if they went to the airport and bought tickets directly from the airline. Or by going to an old-style travel agent and booking the trip. We've become lazy, letting our phones handle everything, and that's how AI apps can easily calculate how much we're willing to pay.
Torchlight
(5,159 posts)as technology continues to evolve and meet the needs of typical retail operators. If platforms support it, I wouldnt be surprised to see AI-driven pricing become as widespread as electronic payment systems.
Honestly, when I was growing up, I imagined a future full of flying carsnot surveillance-based pricing, QR codes, and constant multi-step authentication. But here we are
and tomorrow just keeps getting stranger.
intrepidity
(8,367 posts)Logically, this should be a way for the wealthy to subsidize the poor, because the wealthy can afford higher prices, right?
But we all know it won't work that way ... for reasons.
BeyondGeography
(40,550 posts)More and more people are going to fly away and hardly ever (or never) come back.
Turbineguy
(39,147 posts)Ritabert
(1,382 posts)Midnight Writer
(24,375 posts)This is our future.
Unless we stop it.
Blackjackdavey
(227 posts)They can do this when we shop but just can't figure it out with income taxes? Gotta love it.