The Federal Trade Commission’s first-of-its-kind case against Automators LLC could portend more FTC claims against companies that allegedly seek to attract investors with bloated artificial intelligence-related promises, consumer protection lawyers said Monday.
The FTC filed suit this month against Automators’ operators, alleging they lured consumers into investing $22 million in online stores with baseless claims about profits. The agency also stated the operators claimed to use “AI machine learning” to maximize earnings.
