Delta Air Lines has responded to concerns raised by U.S. Senators Ruben Gallego, Richard Blumenthal, and Mark Warner regarding the airline’s use of artificial intelligence (AI) in its dynamic pricing model.
In a letter dated July 31, 2025, Peter Carter, Delta’s Executive Vice President and Chief External Affairs Officer, addressed the senators’ questions about whether Delta uses AI for individualized or “surveillance” pricing based on personal consumer data. Carter stated:
“Your letter presupposes that we are using, and intend to use, AI for ‘individualized’ pricing or ‘surveillance’ pricing, leveraging consumer-specific personal data, such as sensitive personal circumstances or prior purchasing activity to set individualized prices. To clarify, this is incorrect and this assumption, unfortunately, has created confusion and misinformation in the public discourse.”
He continued: “There is no fare product Delta has ever used, is testing or plans to use that targets customers with individualized prices based on personal data. Furthermore, we have zero tolerance for discriminatory or predatory pricing and fully comply with applicable laws in privacy, pricing and advertising. Our AI powered pricing functionality is designed to enhance our existing fare pricing processes using aggregated data. This technology is a decision-support tool that simply provides informed insights for our analysts, who oversee and fine-tune the recommendations to ensure they are consistent with our business strategy. We are deeply committed to enhancing the customer experience and continuously strive to remain the airline of choice for our customers.”
Carter emphasized that ticket prices at Delta are determined by market factors and competition rather than individual targeting: “To be clear, Delta’s ticket prices are dictated by market dynamics and vigorous competition. In fact, the AI pricing functionality recommends pricing adjustments in both directions to enhance market competitiveness and drive sales, benefiting both our customers and our business.” He added that fares are filed through ATPCO several times daily with objective rules available publicly so all customers have access to the same offers according to standard criteria like origin-destination pairs or advance purchase requirements.
Customers can compare fares without signing into Delta’s website or app; viewing prices does not require providing any personal information. Airlines have used various forms of optimized pricing for decades—factors such as demand forecasts at an aggregate level, competing offers from other airlines, route performance metrics and operational costs all influence fare adjustments.
Delta noted it is piloting Fetcherr’s AI-powered recommendation system in select domestic and international markets as a way of supporting revenue management analysts by automating manual processes involved in fare setting. The company said it does not share any customer personal information with Fetcherr.
Examples given by Carter include using aggregated purchasing data on specific routes for demand forecasting; adapting more quickly to new market conditions; considering thousands of variables at once; helping reservation specialists answer complex queries faster; improving aircraft maintenance planning; and anticipating crew scheduling needs more efficiently.
Carter explained that Delta discloses its practices around customer data usage in its Privacy Policy as well as its responsible AI principles through published terms of use. He stated: “As Delta continues to integrate advanced technologies across our business, we have adopted a comprehensive AI governance framework that balances operational enhancements with the highest standards of safety, security, and trust for our customers and employees.” The approach aligns with company guidelines such as “The Way We Fly” and “Rules of the Road,” reinforcing ethical conduct alongside innovation.
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