AI Smackdown: How a New FTC Rule Also Fights Fake Product Reviews

Salon looks closer at a new $51,744-per-violation AI regulation officially approved one month ago by America's FTC — calling it a financial blow 'If you're a digital media company whose revenue comes from publishing AI-generated articles and fake product reviews.

But they point out the rules also ban 'product review suppression.'

Per the ruling, that means it's a violation for 'anyone to use an unfounded or groundless legal threat, a physical threat, intimidation, or a public false accusation in response to a consumer review... to (1) prevent a review or any portion thereof from being written or created, or (2) cause a review or any portion thereof to be removed, whether or not that review or a portion thereof is replaced with other content.'

Finally... The rule makes it a violation for a business to 'provide compensation or other incentives in exchange for, or conditioned expressly or by implication on, the writing or creation of consumer reviews expressing a particular sentiment, whether positive or negative, regarding the product, service or business....' [T]he new rule also prevents secretly advertising for yourself while pretending to be an independent outlet or company. It bars 'the creation or operation of websites, organizations or entities that purportedly provide independent reviews or opinions of products or services but are, in fact, created and controlled by the companies offering the products or services.'

In an earlier statement, FTC Consumer Protection Bureau head Sam Levine, said the new rule 'should help level the playing field for honest companies. We're using all available means to attack deceptive advertising in the digital age,' he said.

Thanks to long-time Slashdot reader mspohr for sharing the article.

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