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Antitrust Issues With AI and Pricing Algorithms: Increased Regulatory Scrutiny, Risk of Collusion, Recent Litigation

A live 90-minute CLE video webinar with interactive Q&A

This program is included with the Strafford CLE Pass. Click for more information.
This program is included with the Strafford All-Access Pass. Click for more information.

Thursday, February 6, 2025 (Tomorrow)

1:00pm-2:30pm EST, 10:00am-11:30am PST

or call 1-800-926-7926

This CLE webinar will discuss the increased scrutiny and potential anticompetitive practices relating to the use of artificial intelligence (AI) and algorithmic tools when making pricing decisions. The panel will examine recent regulatory efforts, agency enforcement actions, proposed legislation, and antitrust cases addressing the prevalence of pricing algorithms and the potential for price fixing and provide compliance considerations for advising clients in this evolving legal landscape.

Description

AI and algorithmic tools have significantly evolved to help businesses optimize their pricing strategies. However, the use of such tools presents potential issues for competition and antitrust compliance.

During the last few years, there have been four main federal antitrust cases alleging that certain providers of algorithmic pricing tools and their users have violated the Sherman Antitrust Act. In three of the cases, the Department of Justice and Federal Trade Commission filed Statements of Interest supporting the plaintiffs' positions and outlining the agencies' opinion about what the legal principles applicable to claims of algorithmic price fixing should be.

Congress has also been focused on algorithmic collusion and price fixing. In early 2024, several members of the Senate introduced the Preventing Algorithmic Collusion Act, which seeks to increase transparency when companies use algorithms to set prices and presumes a price-fixing "agreement," when direct competitors share competitively sensitive information through a pricing algorithm. While this proposed legislation has been stalled in the Senate, it demonstrates the growing concern and increased scrutiny of using algorithms to determine pricing and the potential for collusion.

Counsel must understand the current regulatory landscape surrounding the use of AI and algorithmic pricing to effectively advise their clients on implementing antitrust compliance programs that address the ongoing and evolving developments in this area.

Listen as our authoritative panel analyzes the increased antitrust scrutiny on the use of AI and algorithmic pricing tools and provides guidance on advising clients to take proactive measures to navigate the compliance risks of using these tools.

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Outline

I. Overview: antitrust issues raised by AI and algorithmic pricing tools

II. Recent antitrust cases, agency Statements of Interest, and agency enforcement actions

III. Legislative proposals

IV. Practical takeaways

Benefits

The panel will address these and other key considerations:

  • How are algorithmic pricing and AI being used by businesses and what are the potential antitrust concerns surrounding the use of these tools?
  • What recent legislative and regulatory actions have occurred to address the prevalence and potential anticompetitive nature of pricing algorithms?
  • What lessons do recent antitrust cases and agency Statements of Interest provide regarding algorithmic collusion and the potential for antitrust violations?
  • What are key compliance considerations when advising clients on antitrust compliance programs that address potential antitrust concerns involving AI, algorithms, and information exchange activity?

Faculty

Gilman, Alexis
Alexis J. Gilman

Partner
Crowell & Moring

Companies seeking antitrust clearance for their mergers and acquisitions, or that are parties or third parties in...  |  Read More

Sicalides, Barbara
Barbara T. Sicalides

Partner
Troutman Pepper Locke

Ms. Sicalides’ practice covers the full range of antitrust and competition matters. She routinely handles...  |  Read More

Attend on February 6

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You may pre-order a recording to listen at your convenience. Recordings are available 48 hours after the webinar. Strafford will process CLE credit for one person on each recording. All formats include course handouts.

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