FTC demands data from six firms on personalized pricing algorithms

The Federal Trade Commission has ordered Delta Air Lines, Walmart, and four other firms to submit detailed data on how they determine prices and compensation rates.

The agency issued the orders on Wednesday, targeting companies in aviation, retail, and the gig economy. In addition to Delta and Walmart, the orders were directed at United Airlines, JetBlue, Lyft, DoorDash, Instacart, and Target. Each company must provide information allowing the FTC to assess if pricing varies by individual based on loyalty program status or personal data analysis. The commission is also examining how ride-sharing and delivery platforms set pay for independent drivers using data such as phone usage or acceptance history.

The investigation stems from a January 2025 preliminary report finding that retailers used third-party services to individualize online prices. That report noted factors included shopper location, browsing history, and the duration items remained in virtual carts. FTC Chairman Andrew Ferguson, who assumed the role when President Donald Trump took office, later described the initial report as rushed. He argued the agency should have requested data directly from the companies rather than focusing on intermediaries.

Legislative pressure has grown alongside regulatory action. According to the National Conference of State Legislatures, lawmakers in at least 30 states have considered pricing-related bills this year. These measures address algorithmic and personalized pricing. In August, the FTC proposed a policy requiring businesses to clearly disclose if they use personalized pricing and to specify the data types involved. The comment period for that proposed rule runs until November 21.

Companies have responded to the orders with varied statements. Delta said it has zero tolerance for discriminatory or predatory pricing and fully complies with current laws. The airline stated it has no fare product that targets customers with individualized offers based on personal data. JetBlue said it does not use personal information or web-browsing history to set individual prices, noting that fares are determined by demand and seat availability.

Walmart’s chief executive issued a statement last month saying the retailer does not use personal information, such as income or shopping history, to set prices. The company said it will not adopt those methods in the future. The Associated Press reached out to Walmart, Target, and DoorDash for further comment on the current orders.

The FTC stated that if the companies fail to turn over the requested data, the agency can compel compliance in federal court. The orders mark a direct step in the commission's scrutiny of opaque methodologies used in these industries to determine consumer costs and worker pay.