A Message from Laura Chadwick, President & CEO of the Travel Technology Association
Travel Tech CEO warns state laws restricting AI pricing algorithms could increase costs and force inefficient one-size-fits-all pricing models.
Restricting or banning the use of algorithms and artificial intelligence in pricing will have a major impact on how the travel industry utilizes dynamic pricing to price perishable travel services. The consequences of these new state laws would increase operational costs, constrain revenue management strategies, and make it difficult, if not impossible, to align pricing with real-time market conditions automatically. Instead of helping the market work better, these bills would lock in inefficiencies and push companies toward blunt, one-size-fits-all pricing.
As these proposals advance in statehouses, they also introduce growing legal and compliance uncertainty, particularly where broadly written bills create conflicting obligations across states. At Travel Tech, we are closely tracking these developments and helping industry members understand what these proposals mean in practice and how they intersect with existing pricing and consumer protection laws. Staying engaged early will be critical to managing risk and ensuring policymakers understand the real-world impact of these proposals before they create lasting harm to the travel ecosystem.
Please reach out to me if these bills are a concern for your company — I’d welcome the opportunity to discuss how Travel Tech can help you stay informed and engaged as these proposals and others move forward.
Laura Chadwick https://www.linkedin.com/in/lauraknappchadwick/