In the Headlines
August 10, 2024
We're Entering an AI Price-Fixing Dystopia
The Atlantic
Antitrust attorney Kenneth Racowski was quoted in an article published by The Atlantic about the rise of algorithmic price-fixing and the challenges it poses to existing antitrust laws. The article discussed how companies like RealPage and Rainmaker use artificial intelligence (AI)-powered algorithms to set prices for their clients in the rental housing and hotel industries, potentially enabling a form of price-fixing without the need for explicit agreements between competitors. RealPage currently faces a class action lawsuit regarding its pricing scheme, and although a judge rejected its motion to dismiss, the company could still prevail at trial. Mr. Racowski emphasized the difficulty plaintiffs face in proving the existence of a price-fixing agreement in these cases.
"The rulings so far have set the bar very high," he said. "The RealPage case was able to clear that bar, but it might prove to be the exception."
READ: We're Entering an AI Price-Fixing Dystopia
"The rulings so far have set the bar very high," he said. "The RealPage case was able to clear that bar, but it might prove to be the exception."
READ: We're Entering an AI Price-Fixing Dystopia