Hopper was fined heavily for inconveniencing its users
Hopper, a mobile app that offers flight and hotel price predictions using artificial intelligence, has reached a $35 million settlement with the U.S. Federal Trade Commission (FTC), Zamin.uz reported.
The settlement follows allegations that the company misled consumers and obscured the true cost of its services. The FTC described the action as a significant step in protecting consumers in the digital marketplace.
According to the FTC, Hopper used dark patterns to pressure users into making decisions they did not intend. These tactics allowed the company to hide additional fees and automatically opt users into optional services.
As a result, customers struggled to understand the actual price and faced unexpected charges. Specifically, the FTC accused Hopper of deceiving consumers about its premium support and price freeze services.
Users believed these features would simplify the booking process, but in practice, they encountered extra charges and limitations in service delivery. Although some services were labeled as optional in the app, they were often pre-selected by default and placed in less visible parts of the interface.
The price freeze feature, one of Hopper’s most popular offerings, also came under scrutiny. Hopper promised that this service would lock in prices for a set period.
However, investigations revealed that the app did not clearly disclose the limitations of this feature. For example, the price freeze only applied up to a certain amount and only if booking was still possible.
The $35 million settlement will provide refunds to consumers who suffered financial harm. Additionally, under the terms of the agreement, Hopper must now avoid misrepresenting any price displays.
The company is required to clearly and fully disclose all hidden fees and the final price before charging users. Hopper is not the first company to face such allegations.
In recent years, the FTC has taken action against several major platforms for deceptive fees. For instance, StubHub agreed to pay a $10 million fine, and Booking.com was fined $9.5 million for hiding hotel costs.
Similarly, Match and other major tech companies have reached settlements over comparable issues. Launched in 2014, the Hopper app now has over 120 million users worldwide.
