RealPage's YieldStar algorithm pushes rents higher for tenants
RealPage's YieldStar algorithm uses private competitor data to recommend rent increases for apartment units. Landlords adopt up to 90% of the suggestions, leading to higher rents for tenants. Critics allege the software may facilitate indirect price-fixing in violation of antitrust law. The company denies wrongdoing and says the software helps eliminate collusion.
- Company involved
- RealPage
- AI system involved
- YieldStar
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UDR Sued Over Alleged Use of RealPage Algorithm to Set Rents in San Diego
A class action lawsuit alleges that UDR, Inc. used RealPage's YieldStar algorithmic pricing software to set rental rates and occupancy levels for its San Diego properties, in violation of a local ordinance. The suit claims the software relied on nonpublic competitor data, contributing to inflated rents and making housing less affordable. The lawsuit, filed in July 2026, seeks to represent all affected tenants. UDR has previously acknowledged using YieldStar as one tool among others in its decision-making.
- Company involved
- UDR, Inc.
- AI system involved
- RealPage YieldStar
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Shipt's new V2 algorithm reduces pay for 41% of workers, study finds
A study by MIT Media Lab and Coworker.org found that Shipt's new V2 payment algorithm reduced pay for 41% of workers by an average of 11% per shop. The algorithm, rolled out in September 2020, replaced a transparent payment system with a black-box model. Workers pooled data to analyze the impact, revealing uneven distribution of earnings.
- Company involved
- Shipt
- AI system involved
- V2
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Google AI Overviews provide inaccurate finance information in 43% of searches
A study by The College Investor found that Google's AI Overviews provided misleading or inaccurate information in 43% of 100 personal finance-related searches. The AI-generated answers included outdated tax rules and incorrect student loan repayment plan details. One user believed she could convert her 529 plan to a Roth IRA in California, which is not allowed. Google has not responded to requests for comment.
- Company involved
- Google
- AI system involved
- AI Overviews
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SQA exam algorithm disproportionately downgraded poorer pupils, report finds
The Scottish Qualifications Authority (SQA) used an algorithm to moderate 2020 exam results after COVID-19 cancelled exams. The algorithm disproportionately downgraded students from disadvantaged backgrounds, leading to a public outcry and a government U-turn. An independent report criticised the SQA and Scottish Government for failing to properly assess the equality impacts and for not making the algorithm available for analysis. The SQA has expressed no regret over the moderation approach.
- Company involved
- Scottish Qualifications Authority (SQA)
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Polish government suspends culture fund after algorithm grants millions to wealthy stars
The Polish government used an algorithm to allocate 400 million zloty in COVID-19 culture support funds. The algorithm awarded large sums to high-earning star performers, including 1.89 million zloty to a company managed by Paweł Golec. After public criticism, Culture Minister Piotr Gliński suspended the fund and announced a review. The government defended the algorithm, stating it was based on financial criteria and aimed to protect jobs.
- Company involved
- Polish Ministry of Culture and National Heritage
9 source articles · read the reporting →
UBC students raise concerns over Proctorio's privacy breach and discrimination
The University of British Columbia (UBC) uses Proctorio, an algorithmic test proctoring software, for remote exams. In June 2020, a UBC student reported an issue with Proctorio, and the company's CEO released the student's support chat logs, sparking privacy concerns. The AMS of UBC published an open letter alleging that Proctorio discriminates against students of colour, those with disabilities, and other groups by flagging 'abnormal' behaviours and denying access. The letter calls on UBC to end its contract with Proctorio and conduct an external audit.
- Company involved
- University of British Columbia
- AI system involved
- Proctorio
10 source articles · read the reporting →
Middle schooler beats Edgenuity grading algorithm to get perfect score
A seventh-grade student in the Los Angeles Unified School District received a failing grade on a history assignment graded by Edgenuity's automated scoring algorithm. With help from his mother, a history professor, he reverse-engineered the algorithm by writing a paragraph with relevant keywords and a jumble of words, earning a perfect score. The incident highlights concerns about the accuracy and fairness of automated grading systems in education.
- Company involved
- Los Angeles Unified School District
- AI system involved
- Edgenuity
10 source articles · read the reporting →
Nevada's AI grad score model cuts funding for low-income students
Nevada replaced its income-based school funding formula with a machine learning model developed by Infinite Campus that generates a 'grad score' for each student. The model reduced the number of students eligible for supplemental funding from 288,000 to 63,000, disproportionately affecting low-income students. Critics argue the model lacks transparency and de-emphasizes economic status, potentially leaving many high-poverty schools underfunded.
- Company involved
- Nevada Department of Education
- AI system involved
- Grad score model
7 source articles · read the reporting →
Uber algorithm reinforced gender pay gap in compensation offers to new hires
Uber used an algorithm to determine compensation offers for new hires, allegedly paying women less than men for similar roles. The algorithm was designed to protect existing shareholders and save money, but it reinforced existing gender pay gaps. The system is now being altered, according to The Information.
- Company involved
- Uber
7 source articles · read the reporting →
UW-Madison disables Honorlock after skin tone recognition failure
The University of Wisconsin-Madison disabled the exam pause feature of its Honorlock anti-cheating software in March 2021 after three students complained that the software failed to recognize their darker skin tones and paused their exams. The software, used since online classes began, automatically pauses exams when it cannot detect facial features. Honorlock denied the issue was related to skin tone, attributing it to students looking away from their webcams. The university responded by disabling the feature.
- Company involved
- University of Wisconsin-Madison
- AI system involved
- Honorlock
10 source articles · read the reporting →
Wisconsin court used secret COMPAS algorithm to sentence Loomis to harsher term
In Loomis v. Wisconsin, a judge used a COMPAS risk score from Northpointe to sentence a defendant to a harsher punishment. The algorithm was kept secret as a trade secret, preventing the defendant from challenging its accuracy. The Wisconsin Supreme Court upheld the sentence, ruling that the score was only one part of the rationale. The case raises concerns about due process and the use of secret algorithms in criminal sentencing.
- Company involved
- State of Wisconsin
- AI system involved
- COMPAS
10 source articles · read the reporting →
Airbnb smart-pricing algorithm increased racial revenue gap, study finds
A study by Carnegie Mellon University found that Airbnb's smart-pricing algorithm increased the revenue gap between White and Black hosts, even though it narrowed the gap among hosts who adopted it. The algorithm, which sets daily prices automatically, was adopted by fewer Black hosts, so its suggested prices were closer to the optimum for White hosts. The researchers said the tool could reduce racial disparities only if more Black hosts adopted it.
- Company involved
- Airbnb
- AI system involved
- Airbnb smart-pricing algorithm
10 source articles · read the reporting →
Stanford takes down Alpaca AI demo over safety and cost concerns
Stanford University took down the web demo of its Alpaca AI language model due to safety and cost concerns. The model, based on Meta's LLaMA, was fine-tuned to follow instructions but could generate misinformation and toxic text. Researchers decided to remove the demo after it became publicly accessible, citing inadequate content filters and rising hosting costs.
- Company involved
- Stanford University
- AI system involved
- Alpaca
10 source articles · read the reporting →
South Korea's AI textbook program rolled back after complaints
South Korea's Ministry of Education launched AI-powered digital textbooks in March 2025 for math, English, and computer science. Students, teachers, and parents complained about technical problems, inaccuracies, and data privacy risks. After four months, the textbooks were stripped of official status and made optional. The program was criticized for being rushed and insufficiently tested.
- Company involved
- South Korean Ministry of Education
- AI system involved
- AI-powered textbooks
7 source articles · read the reporting →
Beus Gilbert PLLC v. Brigham Young University et al. (D. Utah): AI-hallucinated content in court filing, Two AI-ethics CLE courses;…
The AI system generated fake legal citations that were included in a court filing, misleading the court and opposing counsel.
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Answer.AI tests Devin and reports 14 failures in 20 tasks
Answer.AI's team tested Devin, an autonomous AI coding assistant, on 20 real-world tasks over a month. Devin succeeded in only 3 tasks, failed 14, and was inconclusive in 3. The team found Devin often produced overly complex or hallucinated solutions and could not recognize fundamental blockers. They ultimately decided to stick with tools that allow more human control.
- AI system involved
- Devin
5 source articles · read the reporting →
SEC charges American Bitcoin Academy over $1.2M AI scam
Brian Sewell, through his company American Bitcoin Academy, allegedly defrauded 15 students of $1.2 million by claiming his Rockwell Fund would use AI to generate high returns. The SEC charged that Sewell never launched the fund and lost the investors' money when his Bitcoin wallet was hacked. The case was settled with Sewell agreeing to pay $1.6 million in disgorgement and a $233,229 penalty.
- Company involved
- American Bitcoin Academy
6 source articles · read the reporting →
UIUC students petition to stop Proctorio exam proctoring over privacy concerns
A petition at the University of Illinois at Urbana-Champaign (UIUC) alleges that Proctorio, an online exam proctoring system, violates student privacy by accessing websites, downloads, screen content, and app settings. The petition claims the terms of service allow monitoring by 'any other means necessary', which students find unsettling. The petition, created on September 30, 2020, gathered 1,087 supporters but does not report any specific incident of harm. It calls on UIUC to discontinue use of Proctorio in favour of alternatives.
- Company involved
- UIUC
- AI system involved
- Proctorio
9 source articles · read the reporting →
TurboTax and H&R Block AI chatbots give wrong tax advice
A Washington Post review found that AI chatbots from TurboTax and H&R Block were unhelpful or wrong up to half the time when answering tax questions. The chatbots are used by millions of taxpayers. The review tested the chatbots and found them to be unreliable.
- Company involved
- TurboTax and H&R Block
5 source articles · read the reporting →
OpenAI's Operator AI spent $31 on a dozen eggs for a journalist
Geoffrey A. Fowler, a Washington Post columnist, asked OpenAI's Operator AI agent to find cheap eggs in his neighborhood. Instead, the AI autonomously ordered a dozen eggs for $31 and had them delivered. The incident highlights the AI's inability to follow cost-saving instructions, resulting in a financial loss for the user.
- Company involved
- OpenAI
- AI system involved
- Operator
3 source articles · read the reporting →
State Bar of California admits using AI to develop bar exam questions
The State Bar of California admitted that it used artificial intelligence to develop multiple-choice questions for the February 2025 bar exam. The AI-generated questions were created by ACS Ventures, the Bar's psychometrician, and were reviewed by content panels. Test takers had complained about technical problems and irregularities, and the admission has sparked further outrage. The State Bar is asking the California Supreme Court to adjust test scores, and the Committee of Bar Examiners will meet in May to discuss remedies.
- Company involved
- State Bar of California
7 source articles · read the reporting →
Dutch government to refund over 10,000 students over discriminatory DUO fraud algorithm
The Dutch government has pledged to refund over 10,000 students who were unjustly flagged for student finance fraud by a discriminatory algorithm used by the Education Executive Agency (DUO). The algorithm, implemented in 2012, used criteria that disproportionately targeted students from immigrant backgrounds, particularly those of Turkish and Moroccan descent. Following investigations by the Dutch Data Protection Authority and an independent report by PwC, the algorithm was suspended in July 2023 and replaced with a random-sampling system. The government has allocated 61 million euro for refunds.
- Company involved
- Education Executive Agency (DUO)
- AI system involved
- DUO fraud detection system
9 source articles · read the reporting →
Texas uses AI to grade student STAAR test answers
The Texas Education Agency will use an automated scoring engine to grade written answers on the 2023 STAAR tests, replacing thousands of human graders. The system uses natural language processing and will initially score all responses, with a quarter rescored by humans. Educators have expressed concerns about the system's fairness and the potential for errors, especially for creative or non-standard answers.
- Company involved
- Texas Education Agency
- AI system involved
- automated scoring engine
10 source articles · read the reporting →
