This week, the Federal Trade Commission (FTC) took action against IntelliVision Technologies Corp., a company that develops facial recognition software powered by artificial intelligence (AI). The FTC issued a proposed consent order alleging that IntelliVision made false and misleading claims about the effectiveness and impartiality of its technology, particularly regarding gender and racial bias.
The allegations state that IntelliVision presented its facial recognition software as being free from bias, asserting that it had been developed with consideration for various genders, ethnicities, and skin tones. However, the proposed consent order from the FTC indicates that IntelliVision did not have adequate evidence to support its claims. According to the FTC's complaint, the company asserted that its software achieved "one of the highest accuracy rates on the market," alongside a claim of operating with zero gender or racial bias, both of which were unsubstantiated.
Furthermore, the complaint highlights discrepancies in the training data used for the AI system. IntelliVision claimed to have trained its facial recognition technology on millions of images; however, the FTC contends that the actual training involved approximately 100,000 unique individual images, to which variations were applied.
The FTC also pointed out that IntelliVision lacked supportive evidence for its assertion regarding the anti-spoofing technology of its software. The company claimed that its system could not be "tricked" by photographs or videos, a statement for which no substantiation was provided.
Samuel Levine, the Director of the FTC’s Bureau of Consumer Protection, emphasised the need for accountability in the claims made by tech companies, stating, “Companies shouldn’t be touting bias-free artificial intelligence systems unless they can back those claims up. Those who develop and use AI systems are not exempt from basic deceptive advertising principles.”
This action against IntelliVision marks just the second instance in which the FTC has alleged misrepresentation associated with AI facial recognition technology. Earlier in December 2023, the FTC entered into a consent order with Rite Aid for failing to implement reasonable procedures in its use of AI facial recognition systems in stores, highlighting the growing scrutiny over the deployment of AI technologies in business practices.
The developments surrounding IntelliVision and the FTC underscore ongoing concerns regarding transparency and accountability in AI automation, especially as businesses increasingly integrate such technologies into their operations.
Source: Noah Wire Services