Delta Air Lines Plans AI-Driven Dynamic Pricing Based on Personal Data
Delta Air Lines announced it uses AI to set prices for approximately 3 percent of domestic fares and plans to increase this to 20 percent, raising concerns from US senators and consumer advocates that the airline may use personal data to charge customers up to their maximum willingness to pay. The Federal Trade Commission has been investigating surveillance pricing practices more broadly.
What happened
In July 2025, Delta Air Lines revealed that approximately 3 percent of its domestic fare pricing is determined using artificial intelligence, with plans to increase this to 20 percent by the end of the year.
US Senators Mark Warner, Ruben Gallego and Richard Blumenthal sent a letter to Delta requesting information about its AI-driven 'dynamic pricing' plans, expressing concerns that the practice could use customers' personal data to determine prices up to each consumer's 'pain point' – the maximum amount they are willing to spend.
Delta responded stating it does not use AI for 'discriminatory or predatory pricing practices.'
Reported impact
Consumers have raised concerns that Delta and other companies may use personal data to charge different prices for identical products, potentially increasing fares for some customers.
Index analysis
The Federal Trade Commission reported in January 2025 on a surveillance pricing study it carried out in July 2024, finding that companies collect personal data through account registrations, email sign-ups and online purchases, and that web pixels track digital signals including IP address, device type, browser information and granular website interactions such as mouse movements and scrolling patterns.
Former Federal Trade Commission Chair Lina Khan noted that some companies use personal data to predict consumers' 'pain point' – the maximum amount they are willing to spend for a specific good or service.
Governance controls
Democratic lawmakers have introduced legislation to ban surveillance pricing practices in response to Delta's announcement.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.