Incidents gathered from public reporting around the world. Each one links to the articles it came from. None of it is a finding that anyone broke the law.
Reports people file about their own experience are not shown here and never will be without their agreement. Tell us what happened to you.
92 incidents closest to “Lighthouse Pricing” · matched on meaning · public reporting
The AI system generated legal briefs containing fabricated case citations, which were filed in court, affecting the court and the opposing party.
1 source article · read the reporting →
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.
3 source articles · read the reporting →
The Autorité de la concurrence has fined Google €250 million for breaching commitments on related rights. The authority found that Google's Bard (now Gemini) chatbot used content from press agencies and publishers to train its foundation model and for grounding and display, without informing them or offering an opt-out that did not affect other Google services. Google did not contest the facts and proposed corrective measures.
9 source articles · read the reporting →
During a city rail network shutdown in March 2023, Uber's surge pricing algorithm charged commuters hundreds of dollars above normal fares. One passenger was charged $500 for a trip from Sydney to Mount Annan that usually costs $40. Uber apologized and reimbursed affected customers. The NSW government then made an agreement with Uber to cap surge pricing during public transport disruptions.
6 source articles · read the reporting →
Uber's dynamic pricing algorithm increased fares by up to 800% on New Year's Eve in Australia, leaving some users with bills hundreds of dollars above normal. Skye Shanahan was charged $720 for a trip that usually costs $100, and Kris Keen paid $330 for a $40 ride. Uber defended the surge pricing, saying it encourages more drivers, and offered $180 credit to Shanahan.
10 source articles · read the reporting →
Dozens of parents at a Christchurch childcare centre were wrongly issued $85 parking fines by Parking Enforcement Services after its licence plate recognition cameras failed to accurately capture multiple short visits. The company acknowledged some misreads and waived fines on appeal, but parents described the process as stressful and time-consuming. An additional camera was installed to improve accuracy.
1 source article · read the reporting →
Delta Air Lines is using generative AI from Fetcherr to determine some domestic flight prices, currently covering 3% of its network with plans to reach 20% by end of 2025. Democratic senators expressed concern that the AI could be used for individualized pricing based on personal data, leading to higher fares. Delta denies using personal data in pricing and states it complies with regulations. No actual harm has been reported.
8 source articles · read the reporting →
GMB Union has welcomed a report into Uber's dynamic pricing that appears to show it benefits Uber more than drivers. GMB members have reported declining earnings since the introduction of dynamic pricing. The union has called for greater transparency around earnings in the gig economy and will review the report before consulting members on next steps.
8 source articles · read the reporting →
U.S. Senators Elizabeth Warren and Bob Casey sent a letter to Kroger CEO Rodney McMullen raising concerns about the company's use of Electronic Shelving Labels (ESLs) for dynamic pricing. The system, called EDGE shelf and developed with Microsoft, can change prices based on time of day or weather, potentially leading to price gouging. The senators warned that this could harm consumers by increasing grocery costs and requested information from Kroger about its use of the technology.
10 source articles · read the reporting →
Wendy's, a US burger chain, told investors it planned to test dynamic pricing on digital menu displays. The announcement drew backlash online, with accusations of price gouging. Wendy's later denied any intention to raise prices during busy periods, saying its plans had been misconstrued.
9 source articles · read the reporting →
During a major snowstorm in New York City in January 2015, Uber capped its surge pricing at 2.8 times the normal fare after facing criticism for price gouging during Hurricane Sandy. The company announced the cap in an email to users and said it would donate proceeds to the American Red Cross. The policy was in line with an agreement with the New York Attorney General to prevent massive price surges during emergencies.
5 source articles · read the reporting →
After a shooting on a Brooklyn subway train, Uber and Lyft's automated surge pricing algorithms increased fares for riders in the area. Both companies later disabled surge pricing and stated they would refund customers who were overcharged. The incident highlights the risk of automated pricing systems that cannot account for emergency contexts.
6 source articles · read the reporting →
Ticketmaster's dynamic pricing system caused ticket prices for Oasis's reunion tour to surge from around £135 to over £488 for some fans. Fans reported paying double or triple the face value for standing tickets in Dublin and Cardiff. The system, which adjusts prices based on demand, has been criticised by fans on social media. Ticketmaster has not commented on the incident.
9 source articles · read the reporting →
Edinburgh Airport admitted it was trialling an AI system that randomly set higher or lower parking prices for online bookers, with customers receiving different quotes for the same service. The Scottish Passenger Agents Association called for the trial to be conducted in controlled 'lab' conditions rather than on the public. The airport said the AI's pricing closely matched staff-set prices and the findings would evaluate whether to adopt the system.
3 source articles · read the reporting →
The Royal Opera House used dynamic pricing to set ticket prices for Wagner's Siegfried. The price reached £415, among the highest for any performing arts event in British history. The algorithm increased prices based on demand, affecting ticket buyers.
5 source articles · read the reporting →
Senator Elizabeth Warren pressed Amazon CEO over allegations that Amazon Business uses opaque pricing algorithms and misleading contracts to overcharge school districts and local governments. An investigation found that Amazon charged some buyers up to three times as much for identical products, such as a 12-pack of Sharpie markers. The pricing is algorithm-driven and dynamic, and Amazon's group purchasing contracts with OMNIA Partners sidestep traditional competitive bidding. The overcharging is ongoing and has not been resolved.
6 source articles · read the reporting →
A ProPublica study found that Princeton Review's geographically-determined pricing system charges Asian American students almost twice as likely as other ethnicities to pay the highest prices for online SAT tutoring. The system sets prices based on location, with higher prices in areas like New York City where Asian Americans are concentrated. Princeton Review stated that prices reflect local costs and competition, but the disparity raises concerns about racial discrimination in automated pricing.
7 source articles · read the reporting →
Chris Robinson, then 75, applied for a senior living apartment in California. The property manager used an AI screening program from TransUnion, which assigned him a low score based on a mistaken conviction for littering that belonged to a different person with the same name in Texas. Robinson lost the apartment and his application fee. A federal class-action lawsuit against TransUnion moved toward a $11.5 million settlement in 2023.
10 source articles · read the reporting →
The system set rent prices for tenants, causing them to pay higher rents.
1 source article · read the reporting →
The system automatically rejected tutor applicants aged 55+ (women) or 60+ (men).
1 source article · read the reporting →
An investigation by the Pulitzer Center found that Grab's ride-hailing app in the Philippines always includes surge fees in its fares, even when wait times are long. Customers like Rica Torres reported rising costs without explanation. A complaint filed with the LTFRB in 2022 remains unresolved, and the regulator has not determined how the algorithm sets surge rates.
8 source articles · read the reporting →
Zillow Group, Inc. is accused of making false and misleading statements to investors about its Zillow Offers home-flipping business. The company allegedly failed to disclose that its forecasting algorithm was unable to predict home prices accurately, leading to a $304 million inventory write-down and a decision to wind down the business. Investors who bought shares between February 10 and November 2, 2021, suffered losses when the stock price dropped after the announcement. A class action lawsuit has been filed in Washington federal court.
10 source articles · read the reporting →
During the 2014 Sydney Martin Place siege, Uber's surge pricing algorithm automatically raised fares by up to four times the normal rate as people tried to leave the area. The company faced heavy criticism on social media and later apologised, refunding affected customers and offering free rides. Uber acknowledged that not stopping surge pricing immediately was the wrong decision.
7 source articles · read the reporting →
Instacart, a grocery delivery company, was found to have used AI pricing algorithms to charge some customers up to 23% more than others for identical products at the same location. Research by Groundwork Collaborative, Consumer Reports, and More Perfect Union, based on data from 437 shoppers, revealed price fluctuations averaging 7%. Instacart acquired the AI firm Eversight in 2022 and began experimenting with dynamic pricing. The company stated that the tests have ended.
6 source articles · read the reporting →
