FTC "Prepared to Go to Court" Over Unsubstantiated AI Claims
Physical security companies have long gotten away with violating FTC rules, but the Evolv investigation and increasing AI-related claims have raised serious questions. Now, the FTC is threatening broader action.
In this report, we examine the official's comments, the FTC's power to address AI marketing, and how this affects vendors in the physical security market.
FTC **********
*** *** ** *********** *** ******** protection *** *********** **********. ** *** the ***** ** ***** ********* ** court **** ***** ******, ***** ******** multi-million ****** ***********. *** *** *** issued ******* ******** ** **, ********** ******** ******* **** **** ** false ** ******.
********* ****** **** *** ***** *************, such ** "**" ** *** *****, often ******* *** **********. *** *** also ****** **** ** ******** ***** arising **** *** **********; ** ******** 2023, ****** ****** **** ******* ***** ****** *********** *** **** years ***** ******* ********.
FTC **** ***** **** ** ****** *** "******** *** *************"
** **** **, ****,***** ********* ** ************* ****** ******, ******** ** *** FTC's ****** ** ******** **********, ** which ** ********* *** ********* *** highest-level ******* ** ** ********* ** date.
****** **** "*** *** ****'* *******" when ** ***** ** **, *** companies **** ***** ** ******** *** back ****** **** ********. ** **** violators ****** ****** ** **** *** FTC, *** "***** *** *** **** empty *****."
** ********* *** ****** ****** ***** their *** ** **, ** *** capabilities ** ***** **, ***** ****** have ** ** ******** *** *************, orwe *** ******** ** ***** ******. ***** *** *** **** ***** *****....
We ****** ********* ** ** ********, and we have the track record to show that we're ******** ** ** ** ***** ** **** **** ***********. [emphasis added]
No ****** ** ***-*** *** "****-**********"
*********** *** *********** **** ***** ******* to *** **********, ****** ******** ********* should *** **** *** "* ****** of *** ***'* ******** ** *** 2.0," ***** ** **** ******* ****-**********. The *** "**** ** ** ******," and "** *** *** **** ******* our **** *** ****** ****-********** ** going ** ******* *** ******."
* *****some **** ********* ***** ** ****** *** * ****** ** *** ***'* ******** ** *** *.* in the early 2000s, where it said, ****-*************** ** ** *******.That's *** *** ******** ** **** ***. We *** *** **** ******* *** **** and hoping self-regulation is going to protect the public. We're not standing back and saying we're not going to enforce the law because the technology is really new. We ***** ** ** ** ***** ** ** ******** ************ ... ** **** ** ** ******. [emphasis added]
********* *** ***** ** * ******** position ** ******* *** ****** ****** new ************, ** ****** *** ********* less ******* ** ********* ******. **** also ******* **** **********, ***** ********* might **** *** **** ****** ** new ***** (*.*. ************** *** *** SEC). *******, ****** ** *********** ********* that ** ***** **** ******* ********* from *** *** ******* ** ** new. ********* ****** *** ******* ****** either ***, *** *** ***** ******** they ***, **** ***** ** ***** their ********.
AI ** ******** ********
** ******** ****** ** ******** ******** marketing, ************ ***** *******, ***** ******** come **** ******** ********* ********* ** AI, *** **** ***** ******** **** weapons *********.
*** *** *** ***** ******. **** notably,*** *** ** ************* *****'* *********.***** ********* "**" ******* ********* "*** **** the ********** ******* * ***** *** keys" *** "** **** ****** **** someone *** * ******."** **** *** ********, *** ******* ** **** ***** cannot ******** *************, *** * ******* scale ** *********** ******** ********* ****** false ******, *** "**." *** ****, see*** ** ******* ***** ******* ** Not ******** ***********.
** ** ****, *** *** *** fundamental ********* ** ******* ****. ** claim *** ** ********** ************, ** it ********* **** * ******* ** actually ***********? *** **** ** **? There ** ** ******** **********. *******, in *******, ** ****** *********, ********** questions ** *** **** ********** ****** tackle ***** **********.
** *** ******** ********, "**" ***** includes ****** ***********, ****** ************** (*.*. car **** *** *****), *** ****** analytics (*.*., **** ** ******). *********** ****** ** *******. ** ***** ***** ******** ******** companies **** ** ** ***** *****:*******.**,****.**, *********.**, **** * ****** (****** **, ******** ********) ******** **** **** *****.
What *********** * ***** ** *****?
*** ******** **** *******, ** *** ******** ********* *** to "**** **** ** ****** ** check," ********* **** ******* **** *** the *** ******** *******.
*** ******* ******** ** ***** ********** companies ****** ***** **:
*) ***'* ********** - "*** *** exaggerating **** **** ** ******* *** do?...Your *********** ****** ***** ** ********* if **** **** ********** ******* ** if **** ***** **** ** ******* types ** ***** ** ***** ******* conditions."
*) ***'* ******* *** **** ** - "**** *** ******* ******** *** AI ** ***? ** *** ***** you *** *** **** **** ******** claims **** **** ******* ** **-*******, think *****."
*) ******** **** ** *** *** inherently ****** - "*** *** ********* that **** ** ******* **** ********* better **** * ***-** *******?...*** **** adequate ***** *** **** **** ** comparative *****, ***, *** ** **** proof ** ********** ** ***, **** don’t **** *** *****."
Outlook *** ******** ********
******** ******** ** ******* ********* *** the *** ****.** * *** **** *****, *** ************ ********** ********* ******* (STOP) ********* "***************, ********** ********* ******" as "*******" ** *** ********, ****** problems **** *** ********* ** ******* AI ******** ********* ********* **, *****, Evolv, *** ******.
********, *** ******** ******** ******** ** more ****** ** ******* *** ****** because ******-********** ******** ** ***** **** to ****, ***** ** ********* ** the ******. **** ****** *********** ** LPR *********** *** **** ** ***** arrests **, **********, *** ******** ******* offenders. ***** ****** ** ****** * knife ** *****, **,**** *** **** ** **** * high ****** *******.
** *** **** ****, *** *** is ********* ******* ** *********. ***** physical ******** ********* ***** **** ******** products, *** ******** ****** ******* ********** and ********** *****, *** *** **** in ******** ***** ** ******* ********* attention **** *** ***.
******. *****'* * ********* ********** ** the ******** ******* ** *** *** hand **** ***** ******** **** ***** (which **** ***), *** ** *** other **** ****** ******** ********* ******. If *** ****** ** ****, *** latter ** ********** **** ***** ** risk.
* ********** **** ****** ** *** ********'* advertising**** ** *********** ***** ****.
*** *** ******* * **** ******** to ****** *** ****** ******... *** same ********* ****** ***** ** ************ vendors, *** **** **** *********’ ***** in ***** *****.
* ***** **** ****** **** ** include ******** ******** ******* ******* ****** than **** ************ *******.
******** ** ******-********* *********** *** ***** commercial ***** *******, **** *** ********* $15Billion ********, **** ********* ** * long **** ******** **** *** *********** of ***** ****** ******** **** ********* by ***** ********** *******.***, *** ******** **** **/*** *********** changed *** ********, **** **/******** ********.** *****, “** ****** ********” ** most ******* ***** *******, ****** ******-******* felony ** ******. ** ** ********* by ********* ******, ****-**-****, **** **** major ******* ******* **** **** **, and ******** ******* ****** ***** *******.********* *** ** ***** ********** ** public ****** **** **** **% *****/***** alarms (**,***,*** ******** ** *** **).********??** *** ******** ********** **** ******* cancellation ** ***** ****-**** *********?** ****** **** ****.
****** ****** "*** *** ***** ******" should ***** ***** ** **** ********. Companies **** ******* "**** **********" ********** should ** ******** ** ********** *** "Risk" ***** ******* **** *** ******* solutions **** *********** *** ******** "**** Practice" ********. ***, **** ****** ******* the *** **** ********* *** ************ of ***** *********!