Most Americans face the Federal Trade Commission only if they are scamped: This handles identity theft, fraud and stolen data. During the Biden administration, the agency went behind the AI companies to scheme irresponsible advertisements or consumers who were harming people by selling irresponsible technologies after agency AI companies. With the announcement of yesterday’s President Trump’s AIA Action Plan, this period may end now.
In the last months of the Biden administration under Chair Lena Khan, the FTC imposed a high level of fines and proceedings against AI companies to improve its technology against AI companies and to turn the truth-or in some cases claim that they were completely wrong.
It found that Security Dev Avilov lied about it Temperature Of its AI -powered security checkpoints, which are used in stadiums and schools, but failed to catch a seven -inch knife that was eventually used to knock a student. This facial identification went after the company intelligence, saying that the company made Baseless claim That its tools run without gender or racial prejudice. He fined Startup Bogus “AI Lawyer” services and one who sold reviews of fake products manufactured with AI.
As a result of these measures, there were no fines that led to the disability of the companies, but they prevented them from making false statements and offered users ways to recover their money or get out of contracts. In every case, the FTC found that everyday people were harmed by AI companies, which allows their technologies to cross.
The plan issued by the Trump administration yesterday shows that it believes these measures have been far away. The White House says that in a section about removing the “Red Tape and Strict Regulations”, it will review all the FTC actions taken under the Biden administration “to ensure that they do not advance responsibility ideas that are uncertain.” In the same section, the White House says it will stop the Federal Finance related to AI with the rules of “burden” from the states.
The Trump administration’s move is the latest in its attack on the agency, which provides an important way for those who are harming AI in the United States. As a result, AI is likely to be deployed with low scrutiny on accuracy, justice, or consumer loss.
Under the Biden appointment Khan, the FTC found fans at unexpected places. The progressives called for it to break the behavior of the monopoly in Big Tech, but in the orbit of Trump, including Vice President JD Venus, also supported Khan in the fight against the Tech elite, despite the various aims to end his conservative speech censorship.
But in January, after returning to the White House with Khan Out and Trump, this dynamic collapsed. Trump issued an executive order in February that “Put the restraint“Independent agencies like the FTC that affect wages without consulting the president. Next month, it began to take the vow to the legal boundary.
In March, it fired only two Democratic Commissioners in the FTC. On July 17, a federal court ruled that one of the firing of the Commissioner Rebecca Slaughter was declaring the independence of the agency illegal, which restored the slaughter to his post (the other fired commissioner, Alvaro Bedwia, dismissed the court instead of fighting in the court). Slaughter now acts as the only Democrat.
In its action plan, the White House is now taking a step further, and this agency’s actions call the agency a major obstacle to the US victory in the “arms race” for the development of AI faster than China. This has not only promised to change the agency’s style, but also to review and even cancel the AI -related sanctions that it has imposed in the last four years.
How can it run? Leah Farazir, who worked in the FTC for 17 years before leaving in May and served as Khan’s adviser, says it is helpful to think about the agency’s actions against the agency’s actions against AI companies, each supports very different levels in political lines.
The first is about fraud cases, where AI companies mislead consumers. Consider the case of Eloovo, or recent case Announced In April, where the FTC alleges that a company has called Workdo, which offers a tool that to detect whether something has been written with AI, does not have evidence of supporting its claims. Freezier says fraud matters enjoyed bilateral cooperation in his time.
“Then there are issues about the responsible use of AI, and it seems that he did not get very popular support,” Farazir added, who now directs the action of digital justice in the lawyers’ committee for civil rights under the law. These cases do not accuse them of cheating. In fact, they charge that the companies have deployed AI in a way that hurts people.
The most serious of these, which resulted in the most important AI -related move taken by the FTC and was investigated by Farazir, was announced in 2023. The FTC banned Wright Aid from the use of AI’s face identification in its stores when it found technology false people, especially women and color people as shops filters. The FTC has “following false positive alerts.” Is writtenWright Aid employees “followed, searched for users around their stores, ordered them to leave, (and) demanded police to counter or remove the consumers.”
The FTC found that Wright Aid failed to protect people from these mistakes, did not monitor or examine the technology, and did not properly train employees how to use it. The company was banned from using facial identity for five years.
It was a big deal. The operation was beyond examining the deception promises made by AI companies to make right aid responsible for how its AI technology damaged consumers. There are responsible AI cases in which Farazir Imagin may disappear into the new FTC, especially if they include examining the AI model for prejudice.
She says, “The implementation measures about how companies are deploying AI will be less.” The White House’s wider philosophy, which is cited, is a “first try” perspective that seeks to adopt a fast AI everywhere from the Pentagon to the doctor’s offices. Freezier says the implementation of the FTC is likely to result in the result.