The Federal Trade Commission (FTC) has taken a significant step in cracking down on fake reviews by announcing a new rule that bans companies from creating or selling fake reviews, including AI-generated ones. This rule, set to go into effect soon, gives the FTC the authority to take action against companies engaging in such deceptive practices.
One of the key areas this rule aims to address is the proliferation of AI-generated reviews on various online platforms, including Amazon. These fake reviews can mislead consumers and distort their purchasing decisions. The FTC’s new rule specifically prohibits certain deceptive practices, such as offering incentives to customers in exchange for positive or negative feedback, having company insiders write reviews without disclosing their affiliation with the business, and maintaining company-controlled review websites that claim to be independent.
This crackdown on fake reviews is a positive development for consumers who rely on online reviews to make informed purchasing decisions. By eliminating fake reviews and deceptive practices, the FTC is working to create a more transparent and trustworthy online marketplace.
To learn more about the FTC’s new rule and its implications for online reviews, you can read the full article on The Verge [here](https://www.theverge.com/2024/8/14/24220536/ftc-fake-review-rule-ai-generated).