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00:00 If you're a renter, there's a good chance you've been a victim of illegal price fixing.
00:05 In January 2025, the Department of Justice sued six of the largest landlord companies
00:10 for using an algorithmic software called RealPage to illegally collude
00:15 and artificially raise rental prices across the country.
00:18 According to long-standing U.S. law, competitors are not supposed to get together
00:23 and secretly agree to raise prices in tandem.
00:26 But thanks to technology, they can let an app do the illegal price fixing for them.
00:31 Since they all subscribe to the same automated pricing software,
00:35 the algorithm does all the dirty work.
00:37 According to former Assistant Attorney General Jonathan Cantor,
00:41 the modern machinery of algorithms and AI can be even more effective
00:45 than the smoke-filled rooms of the past.
00:47 Algorithms can make coordination among competitors easier.
00:51 Hopefully, this federal lawsuit will end the practice,
00:54 but AI is only getting smarter and its decisions more cloaked in complexity.
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