Delta EVP and Chief External Affairs Officer Peter Carter responds to Senators about the use of AI in Delta’s dynamic pricing model. 

Delta’s EVP and Chief External Affairs Officer Peter Carter sent the following letter to U.S. Senators Ruben Gallego, Richard Blumenthal and Mark Waner in response to questions from the Senators about the use of AI in Delta’s dynamic pricing model. 

 

July 31, 2025 

Senators Gallego, Blumenthal and Warner: 

Thank you for your letter dated July 21, 2025 regarding your interest in how Delta is piloting the use of artificial intelligence (AI) technology to inform our dynamic pricing model. Your letter raises a number of thoughtful questions regarding Delta’s use of AI in our approach to pricing, and we appreciate the opportunity to address your concerns. 

Your letter presupposes that we are using, and intend to use, AI for “individualized” pricing or “surveillance” pricing, leveraging consumer-specific personal data, such as sensitive personal circumstances or prior purchasing activity to set individualized prices. To clarify, this is incorrect and this assumption, unfortunately, has created confusion and misinformation in the public discourse. 

There is no fare product Delta has ever used, is testing or plans to use that targets customers with individualized prices based on personal data. Furthermore, we have zero tolerance for discriminatory or predatory pricing and fully comply with applicable laws in privacy, pricing and advertising. Our AI powered pricing functionality is designed to enhance our existing fare pricing processes using aggregated data. This technology is a decision-support tool that simply provides informed insights for our analysts, who oversee and fine-tune the recommendations to ensure they are consistent with our business strategy. We are deeply committed to enhancing the customer experience and continuously strive to remain the airline of choice for our customers. 

To be clear, Delta’s ticket prices are dictated by market dynamics and vigorous competition. In fact, the AI pricing functionality recommends pricing adjustments in both directions to enhance market competitiveness and drive sales, benefiting both our customers and our business. Fares are publicly f iled through ATPCO multiple times daily and contain objective, publicly available fare rules that ensure all customers have access to the same fares and offers based on objective criteria provided by the customer such as origin and destination, advance purchase, length of stay, refundability, and travel experience selected. To reiterate, prices are not targeted to individual consumers. Furthermore, customers are not required to sign in on delta.com or the app to shop and compare prices. Indeed, customers can view and compare prices without providing Delta any personal information whatsoever. For more than three decades, airlines, including Delta, have used pricing systems and processes, such as optimized pricing, to adjust ticket prices regularly. Prices are influenced by a wide variety of factors, including customer demand for seats and purchasing data at an aggregated level, competitive offers and schedules, route performance, and cost of providing the service inclusive of jet fuel. Given the tens of millions of fares and hundreds of thousands of routes for sale at any given time, the use of new technology like AI promises to streamline the process by which we analyze existing data and the speed and scale at which we can respond to changing market dynamics.

As part of our culture of continuous innovation, Delta is evaluating the AI pricing recommendation functionality developed by Fetcherr in domestic and international test markets, to assist our analysts with pricing by reducing manual processes, accelerating analysis and improving time to market for pricing adjustments. We do not share any personal information with Fetcherr and as noted above, our t icket pricing never takes into account personal data. Leveraging AI to assist with pricing recommendations will enable analyst teams to be more strategic and focus on high-priority tasks. Examples of how AI technology as a decision support tool in pricing is being used and tested via our pilot with Fetcherr are identified below:

  • Aggregating purchasing data for specific routes and flights;
  • Forecasting demand for specific routes and flights;
  • Adapting to new market conditions;
  • Factoring in thousands of variables simultaneously. 

In addition to supporting our revenue management analysts, we are evaluating AI to enhance these aspects of our business:

  • Reservations Specialists use an AI-integrated knowledge management tool to help source answers to complex questions more quickly and accurately, improving resolution times and enhance customer service by ensuring customers receive consistent, high-quality support.
  • Tech Ops planners are using an AI-enabled tool to better predict maintenance needs and directly improve aircraft availability and schedule reliability.
  • Assisting Crew Scheduling to anticipate in advance where crew replacements may be needed, allowing us to quickly plan resources and efficiently schedule crew replacements. 

Delta transparently discloses in its Privacy Policy1 how we use, store, and disclose personal information when customers interact with Delta, including when customers use the Delta.com website or Fly Delta app. In accordance with responsible AI principles, Delta provides AI Terms of Use and discloses to customers when they are interacting with AI. 

As Delta continues to integrate advanced technologies across our business, we have adopted a comprehensive AI governance framework that balances operational enhancements with the highest standards of safety, security, and trust for our customers and employees. Guided by “The Way We Fly”2 and our “Rules of the Road,”3 we remain committed to ethical conduct, responsibility, and innovation. This approach not only defines Delta’s culture but also ensures that every decision made— with or without AI—upholds the trust and loyalty of our customers, employees, communities, and stakeholders. Again, thank you for your interest. 

Very truly yours, 

Peter Carter EVP, Chief External Affairs Officer

 

1 Privacy and Security

2 The Way We Fly

3 Delta Rules of the Road

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