Rep. Craig Demands Answers from Instacart Following Reporting the Company Used Sensitive Data and AI to Inflate Grocery Bills, Charge Different Prices for Same Products

WASHINGTON, DC – Today, U.S. Representative and Ranking Member of the House Committee on Agriculture Angie Craig pressed grocery delivery service and technology company Instacart following reporting that the company used customers’ sensitive personal data and artificial intelligence (AI) to inflate grocery bills and charge different prices for the same products based on their ability to pay.

In a letter to Instacart CEO Chris Rogers, Rep. Craig blasted the technology company for exploiting families’ financial data to charge higher prices in the midst of a nationwide affordability crisis and demanded transparency about the scope and implications of any pricing experiment the company has previously conducted.

“Americans are facing an affordability crisis, and your use of artificial intelligence to scam the average family of four out of $1,200 annually is alarming.” Rep. Craig wrote. “Food is not a privilege; it’s a basic need. Your services are a lifeline to individuals with mobility issues, families, caregivers and folks in rural communities or food deserts.”

Rep. Craig cites that at a Target in St. Paul, MN some shoppers saw their grocery bill total vary by more than $5 for the same items. Researchers found that Instacart repeatedly showed customers different original prices for the same discounted items – using an AI-driven algorithm to inflate savings for some shoppers and not others.

“Big Tech’s weaponization of our data to increase profits on essentials, like groceries, is at best, a horrific breach of trust and at worst, illegal,” Rep. Craig wrote. “The practice of charging my neighbors different prices for the same groceries at the same store is unacceptable, especially when families are being squeezed from all sides.”

You can read the full text of the letter here.

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