WASHINGTON, D.C. — The Federal Trade Commission is examining whether nine major airlines, ride-sharing platforms and retailers use consumers’ personal information to charge different prices or determine gig workers’ compensation, expanding federal scrutiny of algorithm-driven business practices.
The agency issued information requests to Delta Air Lines, United Airlines, JetBlue, Lyft, Uber, DoorDash, Instacart, Target and Walmart under Section 6(b) of the FTC Act. The companies have 45 days from receiving the orders to respond.
The investigation will examine whether businesses adjust prices for airline tickets, rides, deliveries and other goods or services based on individual customer characteristics, including loyalty program participation, browsing behavior and other personal data.
The FTC is also seeking information about how ride-sharing and food-delivery companies calculate worker compensation, particularly whether algorithms use drivers’ personal information or past behavior to determine payment offers.
“We intend to scrutinize the opaque methodology that some companies in these industries may be using to determine how much consumers pay or how much gig workers are paid for the same product or service,” FTC Chairman Andrew N. Ferguson stated.
The orders require companies to disclose the data inputs, analytical tools and procedures used to establish or adjust prices and compensation.
For consumers, the inquiry centers on whether businesses use personal information to estimate how much an individual is willing to pay, potentially charging different customers different amounts for comparable products or services.
For gig workers, regulators are examining whether compensation offers vary according to factors such as phone usage or a driver’s history of accepting previous assignments.
Unlike conventional hourly wages or salaries, compensation on ride-sharing and delivery platforms can fluctuate between assignments. The FTC is seeking to determine whether personal data contributes to those variations.
The inquiry does not establish that any of the nine companies has violated federal law. Section 6(b) authorizes the commission to conduct industry studies without opening a specific law enforcement proceeding.
The new examination builds on an earlier FTC study of personalized pricing practices that focused on consulting firms and technology intermediaries supplying pricing tools to businesses.
The commission said that approach did not provide sufficient information about actual pricing decisions made by companies selling products and services. Its latest orders seek information directly from businesses responsible for setting consumer prices and worker compensation.
In August, the FTC also sought public comment on a proposed enforcement policy statement addressing whether undisclosed use of personal information to establish individualized prices could violate federal consumer protection law.
The agency has separately pursued enforcement actions involving deceptive fees, unexpected charges and misleading earnings claims, including cases involving representations made to workers.
The current investigation extends that scrutiny to the underlying methods companies use to calculate prices and compensation, rather than solely examining how those amounts are disclosed.
Companies receiving the orders must provide the requested records and explanations within the prescribed response period. The FTC can seek a federal court order compelling compliance if a recipient fails to respond.
Commissioners voted 2-0 to authorize the information requests.
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