AI incident #1630 · 28 June 2018

Atlantic City Casino-Hotels Allegedly Used Cendyn's Rainmaker AI to Coordinate and Inflate Room Rates

Open on the AI Incident Database 2 news reports Snapshot 7 Sep 2026

What happened

Atlantic City casino-hotels were alleged to have used Cendyn's Rainmaker AI-powered pricing platform to coordinate room rates using competitors' non-public pricing and occupancy data. Plaintiffs alleged that the hotels accepted Rainmaker's recommendations about 90% of the time, resulting in anti-competitively high room prices for guests.

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News reports (2)

Coverage catalogued by the AI Incident Database. Titles link to the original publisher; the text is not reproduced here.

29 Jul 2026
US court revives lawsuit claiming AI software fueled price-gouging by New Jersey casinos
reuters.com · David Thomas · AIID #7679
30 Jul 2026
3rd Circuit Revives Claim Hotels Conspired to Use AI to Hike Rates
law.com · Anna Langlois, Sulaiman Abdur-Rahman · AIID #7676

Who was involved

Alleged deployer: Tropicana Casino And Resort Atlantic City, Mgm Resorts International, Hotels, Harrah'S Resort Atlantic City, Hard Rock International, Hard Rock Hotel And Casino Atlantic City, Companies, Casinos, Casino Hotels, Caesars Entertainment, Caesars Atlantic City Hotel And Casino, Borgata Hotel Casino And Spa, Atlantic City Casino Hotels Using Rainmaker Pricing Software
Alleged developer: The Rainmaker Group, Cendyn Group, Ai Powered Dynamic Pricing Software Developers
Alleged harmed party: Hotel Customers, Customers, Casino Hotel Customers, Atlantic City Casino Hotel Guests Allegedly Charged Anti Competitively High Room Rates

Classification (MIT AI Risk Repository taxonomy)

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