Delta is moving towards eliminating the specified prices in favor of artificial intelligence that determines the amount that it will pay personally in exchange for a ticket

By the end of the year, Delta plans to 20 % of ticket prices that will be determined individually using artificial intelligence, as President Glen Hoinstein told investors last week. Currently, about 3 % of the airline prices are specific to artificial intelligence, three times the part of nine months.

Over time, the goal is to completely get rid of fixed prices, Hoinstein explained through the company Investor On November.

“This is a full engineering of how our price and how we will be pricing in the future,” he said. In the end, “We will have a price available on that trip, at the time, for you, the individual.”

He compared artificial intelligence to a “super analyt” who “works 24 hours a day, and seven days a week and tries to simulate … in real time, what should be the price points?”

He said that although the operation will be a “multi -year” process, the initial results “show revenues of the unitary unit surprisingly.”

Delta accomplishes this pricing through a partnership with Fetcherr, an Israeli six -year -old company also calculated AZUL, Westjet, Virgin Atlantic and Vivaerobus as customers. It has its scenes exceeding flying. “Once we are established in the aviation industry, we will move to hospitality, car rental, and cruises, whatever it is.” April He said on travel conference In 2022.

“Horrown of our brains”

While the delta is unusually open about its use of Amnesty International, it is likely to follow other transport companies. Really, United Airlines use AI Tolide To contact the passengers about cancellation, while US Airlines It uses it to predict those who will be absent from their journey.

“Personal pricing has been a goal to fly over the past decade and a half.” Artificial Intelligence StrategyHe said luck. “Delta is the first main flight company Speak publicly About its use to pricing artificial intelligence, to tension for the potential ascension on the investor day in the fall and provide concrete measures about its use in the last profit call. ”

“They are trying to see people’s presidents to know how much they are willing to pay,” said Justin Conservative Monitoring Authority, who analyzes the so -called monitoring pricing of the consumer consumer, which is the California non -profit, said, “They are trying to see people’s presidents to know how ready they are.” “They mainly penetrate our brains.”

Senator Robin Galigo (DARES) is called the “Pricing Pricing” Delta, “Pacific Pricing”, ” He said, “I will not allow them to stay away from this.”

A spokesman for Delta said luck The airline “does not tolerate discrimination. Our prices are publicly provided and depends only on the factors related to the trip such as the pre -purchase category and Cabin Class, and we maintain strict guarantees to ensure compliance with federal law.”

The spokesperson did not immediately answer the follow -up questions about what these guarantees are, whether human or mechanism, or where 3 % of the prices are currently appointed via Fetcherr.

The “fair” pricing is over

Certainly, airlines have long provided different prices for different people, even in the same path, based on factors such as how to write travelers-further, through the comparison shopping site or a travel agent-or to what extent do they shop in advance. As it comes back A decade agoTravel sites on travel sites showed different prices for the same flight line specifically based on details such as the browser used by the buyer to search for prices. However, the use of superior fees from artificial intelligence this type of price discrimination and puts airlines in a legal gray area.

“Amnesty International not only improves commercial operations, but also rewrites the rules of trade and consumer experience mainly, “Matt Bretton, author of a book” AI generationHe said luck. “For consumers, this means that the” fair “pricing era has ended. The price you see is the price that the algorithm believes that you will accept it, not a global rate.

White differential pricing in itself, federal laws prohibit the imposition of different rates of people based on their gender or race, and it has been proven that the use of some identifiers such as postal symbols has a contrasting effect on protected seasons. Without a general record for all prices, it will be difficult, if not impossible, determine whether the Delta is receiving completely different prices for people based on their membership in a protected season.

To complicate matters, while industrial experts expect the impact of artificial intelligence to mean more revenue for Delta, the effect of individual passengers is less confident. In the short term, artificial intelligence may mean more discounts provided when the Delta needs to fill the seats, as Lev said. In the short term, shoppers may benefit from the use of VPN and disinfecting cookies when browsing the air air, but in the long run, Delta and other airlines may require passengers “in order to log in to buy tickets in order to obtain the advantages of the situation from the airlines, and it is mainly done within their ecological system to gain the benefits of this system (I submit a personal pricing to obtain specialized pricing. About personal pricing is not favorable to the consumer. Find The best deals were offered to the richest customers – with the worst deals offered to the poorest people, who are likely to have other options.