ATLANTA — Pushing back on a letter from three U.S. senators, Atlanta-based Delta Air Lines said Thursday it has not used artificial intelligence for ticket pricing.
More specifically, Delta said in a letter shared with Channel 2 Action News that it does not use AI to “inform (its) dynamic pricing model.”
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The company said in a letter responding to Sens. Ruben Gallego, Richard Blumenthal and Mark Warner that Delta has never used AI for “individualized” pricing or “surveillance” pricing.
“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,” the company stated.
The letter came in response to comments from the senators on the airline’s use of AI.
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The Atlanta-based airline said it uses AI to enhance fare pricing processes by aggregating data, and the company has “zero tolerance for discriminatory or predatory pricing.”
Their technology is instead an AI decision-support tool, as described by the company, that “simply provides informed insights for our analysts, who oversee and fine-tune the recommendations to ensure they are consistent with our business strategy.”
Delta said they remain committed to enhancing their customer experiences and strive to be the airline of choice for their customers.
“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,” the company told senators. “Fares are publicly filed through ATPCO multiple times daily and contain objective, publicly available fare rules that ensure all customers have access to the same fares and offers based on objective criteria provided by the customer such as origin and destination, advance purchase, length of stay, refundability, and travel experience selected.”
The airline also said their prices are not targeted at individual customers and their customers are not required to sign in on their website or app to purchase tickets or compare prices.
The AI testing they have done, according to Delta, instead was used for:
- Aggregating purchasing data for specific routes and flights
- Forecasting demand for specific routes and flights
- Adapting to new market conditions
- Factoring in thousands of variables simultaneously
Additionally, the company said they are testing AI and how it may “enhance” the following parts of their business:
- Reservations Specialists use an AI-integrated knowledge management tool to help source answers to complex questions more quickly and accurately, improving resolution times and enhance customer service by ensuring customers receive consistent, high-quality support.
- Tech Ops planners are using an AI-enabled tool to better predict maintenance needs and directly improve aircraft availability and schedule reliability.
- Assisting Crew Scheduling to anticipate in advance where crew replacements may be needed, allowing us to quickly plan resources and efficiently schedule crew replacements
Delta also said they disclose how they use, store and provide personal information to customers that interact with Delta on their website and in their Fly Delta app.
The company also “in accordance with responsible AI principles, Delta provides AI Terms of Use and discloses to customers when they are interacting with AI.”
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