"New York's latest state budget includes new disclosure requirements for businesses that use personal data to set different prices for different shoppers - for example, charging you more if you have a history of splurging. Businesses that use personalized pricing are now required to tell customers, "This price was set by an algorithm using your personal data," according to The New York Times. It's not clear how widespread this practice actually is among online retailers."
"An Uber spokesperson told the NYT that the company is now showing this disclosure to New Yorkers, although they described the law as "poorly drafted and ambiguous" and insisted that Uber only uses geography and customer demand to calculate its dynamic pricing. The National Retail Federation filed a lawsuit to stop the law, but a federal judge allowed it to move forward."
New York's state budget requires businesses that use personal data to set different prices for shoppers to disclose that an algorithm set the price. The disclosure must tell customers, "This price was set by an algorithm using your personal data." The requirement targets practices such as charging customers more based on purchasing history. The prevalence of personalized pricing among online retailers remains unclear. Uber reports that it is showing the disclosure to New Yorkers while saying it uses only geography and customer demand for dynamic pricing. The National Retail Federation sued to block the law; a federal judge allowed it to proceed. Lina Khan described the measure as an important governmental tool and called for further regulation.
Read at TechCrunch
Unable to calculate read time
Collection
[
|
...
]