News Post

Bankrupt US pharmacy chain Rite Aid banned from using AI facial recognition

Economic Times

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Rite Aid, the bankrupt US pharmacy chain, has been barred from using facial recognition technology for surveillance purposes for the next five years. The US Federal Trade Commission (FTC) settled charges against Rite Aid, stating that the company falsely identified some customers as shoplifters through its AI-based facial recognition system. Rite Aid had deployed this technology from 2012 to 2020, but discontinued its use three years ago. The FTC's complaint and subsequent ban followed an investigation by Reuters into Rite Aid's facial recognition programme, which revealed its deployment in lower-income, non-white neighborhoods.

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