A cellphone receiving a call marked "suspected spam"
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FCC looks to tighten rules on AI-generated robocalls 

The proposed regulation — the first of its kind — comes at a time when the real estate is already dealing with lawsuits over unsolicited texts and calls.

July 17, 2024
2 mins

The federal government is outlining new rules for AI-generated robocalls, something that could have a major impact on both industry professionals and real estate technology companies.

What's being proposed: Federal Communications Commission Chairwoman Jessica Rosenworcel laid out new consumer protections designed to cut down on potential fraud.

"Bad actors are already using AI technology in robocalls to mislead consumers and misinform the public. That's why we want to put in place rules that empower consumers to avoid this junk and make informed decisions," Rosenworcel said in a news release.

The proposed rules — billed as the first of their kind — would define AI-generated calls and require callers to disclose they are using AI-generated calls when getting express consent to contact someone. The proposal would also call for substantial fines for using illegal robocalls, particularly the deepfake, AI-generated voice cloning technology that was being used to spread election misinformation ahead of the New Hampshire presidential primary in January.

If adopted during the FCC's August meeting, the proposed rules would go out for public comment, then face a final vote before implementation.

Impact on real estate: Real estate brokerages and agents are increasingly being named in lawsuits over unsolicited text messages and robocalls. Keller Williams had to pay $40 million to settle a class action lawsuit in January 2023 and has had to fight allegations of unsolicited text messages this year. 

More often, individual agents are also being tied to class action lawsuits over unwanted texts or calls.

Meanwhile, proptech companies are offering products with increased capabilities around AI-generated voice (and video) connections with consumers. These are billed as a way to save time, but they may need to follow more robust rules.

So is the FCC trying to put the brakes on AI? Earlier this year, Lofty CEO Joe Chen told Real Estate News he doesn't believe the agency intends to stifle technology, but rather create some guardrails.

"I think that AI is pushing chatbots and is pushing automated machine challenges to human conversation. So, I think that on one side, the government wants to protect consumer rights. On the other side, I don't think the government would do anything to stop AI."

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