Canada Warns on Anticompetitive Potential of Algorithmic Pricing

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The Competition Bureau of Canada has published a report summarizing public feedback on algorithmic pricing and its potential impact on market competition. The release follows a consultation conducted from June 10 to August 4, 2025, which invited input from businesses, industry associations, academics, consumer groups, and individuals, both domestic and international.

The Bureau received over 100 submissions, highlighting a range of perspectives on the benefits and risks of algorithm-driven pricing strategies used across sectors such as hospitality, concert ticketing, and ridesharing. Key themes from the feedback include the ability of algorithms to create market efficiencies, the potential for anticompetitive behaviour, the risks posed by a lack of data transparency, and the need for government regulations that protect competition without stifling innovation.

“Algorithmic pricing can improve efficiency and choice, but it also presents risks related to fairness, transparency, and competition,” said Jeanne Pratt, Acting Commissioner of Competition. “We will continue to engage with partners, the international community, market participants, and Canadians as we advance our understanding of these emerging competition issues.”

The Bureau emphasized that the consultation is part of its broader effort to monitor developments in algorithmic pricing and artificial intelligence and to respond effectively to emerging market dynamics. Submissions received as part of the consultation are publicly available, unless confidentiality was specifically requested.

The Competition Bureau’s report builds on previous work, including a 2025 consultation on artificial intelligence and competition, reinforcing the agency’s commitment to ensuring that technological innovation benefits consumers while preserving fair and competitive markets.