Have you ever wondered how airlines like Delta determine their prices? With the rise of AI, there were concerns that they might be using artificial intelligence to come up with inflated, personalized prices for each customer. But Delta has finally spoken up to explain how their AI pricing works, amid ongoing backlash.
According to Delta, they don’t use AI to create personalized prices. Instead, their system takes into account a range of factors like demand, competition, and operational costs to determine the prices of their flights. They claim that their goal is to provide customers with fair and competitive prices, rather than trying to maximize profits.
This explanation comes after many customers and experts raised concerns about the potential misuse of AI in pricing. With AI, it’s possible to analyze vast amounts of data and create highly targeted prices that take advantage of individual customers. But Delta assures us that’s not what they’re doing.
It’s interesting to see how companies are using AI in their pricing strategies, and how they’re responding to concerns about fairness and transparency. As AI becomes more prevalent in business, it’s essential to have these conversations and ensure that AI is used in ways that benefit everyone, not just the companies themselves.
What do you think? Do you believe Delta’s explanation, or do you think there’s more to the story?