Instacart to end AI price tests for retailers following investigation

TL;DR

Instacart is halting the use of its AI-powered tool that allowed variable pricing for identical items.
The decision comes after an investigation by Consumer Reports and Groundwork Collaborative found evidence of price testing by major retailers.
Retailers like Albertsons, Costco, Kroger, Safeway, Sprouts Farmers Market, and Target were reportedly testing the AI pricing system.
A test showed a box of Wheat Thins varying by as much as 23% in price.
Instacart acquired Eversight, the AI pricing platform, in 2022.
The FTC was reportedly probing Instacart's AI pricing tests.
Instacart recently agreed to pay $60 million in refunds to settle allegations of deceptive practices regarding free deliveries and service fees.

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