FTC Finalizes $930,000 Settlement Over ‘Active Listening’ AI Ad Service That Allegedly Didn’t Work as Advertised

The FTC says an “Active Listening” advertising service marketed as using AI and conversations captured near smart devices did not actually use voice data and allegedly failed to provide the geographic targeting customers were promised. Laktikov Artem/Shutterstock

The Federal Trade Commission has finalized orders requiring Cox Media Group and two marketing firms to pay a combined $930,000 to settle allegations that they misled customers about an AI-powered advertising service promoted as being able to target consumers based on conversations picked up by smart devices.

The FTC announced final approval of the orders on August 27 after considering public comments on settlements first proposed in May. The companies are Georgia-based CMG Media Corporation, which does business as Cox Media Group; New Hampshire-based MindSift LLC; and Wisconsin-based 1010 Digital Works LLC.