December, 18 2025, 01:59pm EDT
Following Groundwork’s Bombshell Report, FTC Opens Investigation Into Instacart Price Experimentation
Following a bombshell report from Groundwork Collaborative, Consumer Reports, and More Perfect Union revealing that Instacart uses AI to run pricing experiments on consumers, the Federal Trade Commission (FTC) yesterday launched an investigation into the company’s pricing schemes.
The report found that Instacart showed different shoppers different prices for the exact same groceries, a scheme that could cost families more than $1,200 a year at checkout. It sparked immediate scrutiny of Instacart’s opaque pricing tools and raised fresh questions about how corporations are using AI to quietly drive up costs for consumers amid a nationwide affordability crisis.
Groundwork Action’s Executive Director Lindsay Owens reacted with the following statement:
“At a time when families are being squeezed by the highest grocery costs in a generation, Instacart chose to run AI experiments that are quietly driving prices higher. While the FTC’s investigation is welcome news, it must be followed with meaningful action that ends these exploitative pricing schemes and protects consumers. Instacart must face consequences for their algorithmic price gouging, not just a slap on the wrist.”
The Groundwork Collaborative is dedicated to advancing a coherent and persuasive progressive economic worldview and narrative capable of delivering meaningful opportunity and prosperity for everyone. Our work is driven by a core guiding principle: We are the economy. Groundwork Collaborative envisions an economic system that produces strong, broadly shared prosperity and power for all people, not just a wealthy few.
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'Cruel and Unconstitutional': Trump, RFK Jr. Escalate War on Trans Youth With Threat Against US Hospitals
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President Donald Trump and Health and Human Services Secretary Robert F. Kennedy Jr. on Thursday unveiled new policies aimed at cutting transgender minors off from gender-affirming care.
As reported by the New York Times, Kennedy announced new proposed rules that would bar Medicare and Medicaid from sending any funds to hospitals that carry out gender-affirming care on transgender minors, a move that would essentially force these facilities to shut down given that spending from those two programs account for nearly half of all spending on hospital care.
Dr. Mehmet Oz, the administrator of the Centers for Medicare and Medicaid Services, warned during a news conference announcing the proposed rules that hospitals are "going to pay a very steep price" if they continue providing gender-affirming care to minors.
Many hospitals throughout the US are already under financial strain while bracing for the impact of the Medicaid cuts in this year's Republican-passed budget law, which are projected to total $1 trillion over the next decade.
Dr. Susan Kressly, president of the American Academy of Pediatrics (AAP), slammed Trump administration health officials for their "unprecedented actions and harmful rhetoric" while announcing the new proposed rules, which she described as a vast overreach by the federal government.
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Kelley Robinson, president of the Human Rights Campaign, hammered the Trump administration for being "relentless in denying healthcare to this country, and especially the transgender community."
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FTC Opens Investigation Into Instacart Pricing After 'Bombshell Report'
Groundwork Collaborative revealed this month that artificial intelligence-enabled pricing experiments used by the shopping app have charged users up to 23% more than others for the same products.
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The executive director of Groundwork Collaborative, the advocacy group behind a "bombshell report" that exposed Instacart's artificial intelligence-powered pricing schemes, welcomed the news that the federal government US opening an investigation into the business practice, and urged the Federal Trade Commission to follow the probe with concrete consumer protection actions.
The FTC told Gizmodo that "like so many Americans, we are disturbed by what we have read in the press about Instacart’s alleged pricing practices.”
Groundwork joined Consumer Reports and More Perfect Union in examining Instacart's practice, using the AI pricing software Eversight, of quoting different prices to different shoppers using the company's app, which allows people to order groceries and send a shopper to pick them up.
Some customers at a Safeway in Seattle were charged a price that was 23% higher than other shoppers for Skippy peanut butter, Oscar Mayer turkey, and Wheat Thins crackers. In Washington, DC, customers using the Insacart app saw eggs priced at $3.99, while others who logged on at the exact same time were charged $4.79 for the same brand at the same store.
Instacart has the ability to change prices based on data such as ZIP code or income, though the groups did not find it is currently using that information in its pricing experiments.
Groundwork noted that the scheme is taking place as American families are already struggling to afford groceries, electricity, healthcare, and other essentials.
“At a time when families are being squeezed by the highest grocery costs in a generation, Instacart chose to run AI experiments that are quietly driving prices higher," said Lindsay Owens, executive director of Groundwork. "While the FTC’s investigation is welcome news, it must be followed with meaningful action that ends these exploitative pricing schemes and protects consumers. Instacart must face consequences for their algorithmic price gouging, not just a slap on the wrist.”
In its report, the group called on the FTC to take action under Section 5 of the Federal Trade Commission Act, which prohibits “unfair methods of competition," or to bring enforcement cases or initiate rulemaking to officially classify AI-enabled pricing strategies as "unfair and deceptive" strategies.
The progressive think tank Roosevelt Institute applauded Groundwork and its partners for the "major investigation" that pushed the FTC to act.
Instacart's shares dropped by about 7% following the news of the FTC probe.
On Thursday, the agency announced that Instacart would pay $60 million in refunds to settle separate allegations that it falsely advertised "free delivery" while charging a service fee, falsely advertised a "100% satisfaction guarantee" that suggested it would offer full refunds, and failed to disclose terms regarding Instacart+ membership.
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'No War With Venezuela,' Says Maine US Senate Candidate Graham Platner
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The progressive running to unseat Republican US Sen. Susan Collins of Maine is speaking out forcefully against President Donald Trump's march to war with Venezuela, warning of alarming parallels with the invasion of Iraq over two decades ago.
In a video posted to social media on Wednesday night, Graham Platner—a Marine Corps and US Army veteran who served multiple combat tours in Iraq and Afghanistan—said it is "terrifying" to witness the US government "yet again trying to lead us into an illegal war that is going to do absolutely nothing for the average American."
"What is happening in Venezuela should not fool you into thinking that we are under attack, that we are under threat from Venezuela," said Platner, who accused the increasingly unpopular Trump administration of falling back on the "most tried and true method of failing governments, which is to go start a war."
"This is why we need to claw back war powers from the executive branch," he added. "It should not be an option in our government to allow a failing presidency to just start a war because they feel like it's politically expedient. That shouldn't even be possible, and the only reason it is possible is that we have allowed it to become possible."
Watch:
Platner's remarks came a day after Trump, who has repeatedly threatened to launch military strikes inside Venezuela, announced a "total and complete" blockade on "sanctioned oil tankers" approaching and leaving the South American nation—a move that was widely condemned as an act of war.
"No war with Venezuela," Platner wrote on social media in response to the president's announcement, expressing a view shared by 63% of US voters, according to one new poll.
Platner's vocal condemnation of Trump's military aggression toward Venezuela and warnings about regime change contrast sharply with his electoral opponents' relative silence on the issue, which has drawn international alarm and outrage.
Maine Gov. Janet Mills, Platner's establishment-backed competition in the Senate primary, told Common Dreams in a statement that "Congress should be exercising its oversight and war powers authority" to constrain Trump. The comments appeared to be Mills' first public statement on the potential military conflict with Venezuela.
"Unsurprisingly, the president's objectives and strategy are unclear as he drives us closer to a costly and unnecessary war," Mills said, adding that, "unlike Susan Collins," she would have supported a recent war powers resolution that nearly every Republican senator voted to block last month.
Collins, according to the Associated Press, gave opponents of the war powers resolution "the decisive 50th vote to defeat it" when it came up for a vote on November 6.
If passed, the measure would have required Trump to "direct the removal of United States Armed Forces from hostilities within or against Venezuela that have not been authorized by Congress."
"The power to wage war constitutionally was given to the legislative branch to make sure that this exact kind of scenario did not happen."
Senate opponents of Trump's military aggression toward Venezuela directly and his ongoing, deadly strikes on boats in international waters are not giving up on efforts to rein in the lawless president.
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Platner echoed that sentiment in his video message on Wednesday.
"The power to wage war constitutionally was given to the legislative branch to make sure that this exact kind of scenario did not happen," said the US Senate candidate. "The only way that we can keep it from happening again is to make sure that the power to wage war returns to the representatives of the people."
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