To be more specific, it’s unfair if it causes or is likely to cause substantial injury to consumers that is not reasonably avoidable by consumers and not outweighed by countervailing benefits to consumers or to competition.Īs for the new wave of generative AI tools, firms are starting to use them in ways that can influence people’s beliefs, emotions, and behavior. Under the FTC Act, a practice is unfair if it causes more harm than good. Design or use of a product can also violate the FTC Act if it is unfair – something that we’ve shown in several cases and discussed in terms of AI tools with biased or discriminatory results. In previous blog posts, we’ve focused on AI-related deception, both in terms of exaggerated and unsubstantiated claims for AI products and the use of generative AI for fraud.
When that conduct is commercial in nature, we’re in FTC territory, a canny valley where businesses should know to avoid practices that harm consumers. While the scenario is pure speculative fiction, companies are always looking for new ways – such as the use of generative AI tools – to better persuade people and change their behavior. The robot was designed to manipulate that person’s emotions, and, oops, that’s what it did.
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In the 2014 movie Ex Machina, a robot manipulates someone into freeing it from its confines, resulting in the person being confined instead. About the FTC Show/hide About the FTC menu items.News and Events Show/hide News and Events menu items.Advice and Guidance Show/hide Advice and Guidance menu items.Competition and Consumer Protection Guidance Documents.Enforcement Show/hide Enforcement menu items.
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