McDonald’s sued for allegedly using AI tool to determine pricing for franchises
Suit says AI tool allows independently owned franchises to exchange nonpublic price and sales information McDonald’s is facing a lawsuit in federal court over its alleged use of an AI tool to determine pricing across independent franchises, which prosecutors say violates antitrust laws and has unfairly inflated menu prices for Americans.
The vast majority of McDonald’s US stores are independently owned and are said to individually decide on prices under company policy.
Antitrust laws require businesses to set prices independently from their competitors, as coordinating prices can stifle market competition and push up costs for consumers.
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5News aggregated this summary from the outlet’s public feed. The full article, with all the context, is on www.theguardian.com — the content belongs to The Guardian Australia - Technology.
