US Federal Trade Commission (FTC) — IntelliVision Technologies Corp.
The FTC finalized an order against IntelliVision Technologies Corp. for making false, misleading, or unsubstantiated claims that its AI-powered facial recognition software was free of gender and racial bias, and had high accuracy rates. The order prohibits such misrepresentations and requires competent and reliable testing.
Key takeaway — how to prevent this
AI that denies insurance claims or benefits must preserve meaningful human review of medical necessity; automated mass denials draw bad-faith, breach-of-contract and class-action liability.
Case brief
Read from the authority's press release on 2026-09-06. Every holding carries a short verbatim quote from that text.
- Decided by
- Federal Trade Commission
- Parties
- Federal Trade Commission v. IntelliVision Technologies Corp.
- Decision date
- January 13, 2025
- Remedy
- IntelliVision is prohibited from misrepresenting the accuracy, bias, or anti-spoofing effectiveness of its facial recognition technology, and must possess competent and reliable testing before making future performance representations.
- Appeal
- Appeal status not stated
Key holdings
The FTC alleged that IntelliVision falsely claimed to have trained its facial recognition technology on millions of faces.
“The complaint also alleged that IntelliVision did not train its facial recognition software on millions of faces, as it claimed”
IntelliVision must possess and rely on competent and reliable testing before making future representations about the effectiveness or accuracy of its facial recognition technology.
“unless it possesses and relies on competent and reliable testing of the technology.”
In plain English
The Federal Trade Commission finalized an order against IntelliVision Technologies Corp. following allegations that the company made false, misleading, or unsubstantiated claims regarding its artificial intelligence powered facial recognition software. According to the FTC complaint, IntelliVision claimed that its software operated with zero gender or racial bias and offered one of the highest accuracy rates on the market. However, the agency found that IntelliVision lacked evidence to support these assertions. The complaint further alleged that the company did not train its software on millions of faces as it had claimed, nor did it have adequate support for assertions that its anti-spoofing technology reliably prevented system deception by photos or videos. Under the finalized order, which received a 5-0 vote from the Commission after receiving no public comments, IntelliVision is prohibited from misrepresenting the performance, accuracy, and anti-spoofing capabilities of its facial recognition software. The company is also prohibited from making claims about the effectiveness, accuracy, or lack of bias of its facial recognition technology unless it possesses and relies on competent and reliable testing. This case reinforces regulatory requirements that companies must substantiate claims regarding artificial intelligence performance and accuracy.
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