"These AI-generated products look like quality items, which the scammers then pitch at affordable prices. When a user clicks on the ad, which the scammer paid Facebook to serve, they are sent to the thieves' e-commerce storefront. The consumer makes their purchase without realizing the item is a fake. They'll either receive a cheap imitation product, or never receive any item at all."
"According to a BBC investigation, consumers were scammed out of their money after falling for fake AI-generated images posing as C'est La Vie and Mabel & Daisy, family-run UK-based businesses selling products such as clothing and jewelry. The stores do not actually exist; the e-commerce site is connected to a warehouse in China that ships cheap knockoffs. The BBC heard directly from more than 60 people who fell victim to these scams after its report came out."
AI-generated images are being used to create convincing fake products promoted through paid Facebook ads. Users who click those ads are directed to fraudulent e-commerce storefronts tied to warehouses in China. Purchasers either receive cheap knockoffs or nothing at all after paying. Reported scams have targeted names such as C'est La Vie and Mabel & Daisy, affecting dozens of consumers. Meta has removed some fraudulent companies but continues to earn revenue from scam ads. Generative AI lowers barriers for realistic fakes, increasing holiday shopping fraud risk, so shoppers should remain vigilant.
Read at Mashable SEA | Latest Entertainment & Trending
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