Sam's Club is adding AI to the shopping experience. Why are privacy advocacy groups worried?

Sam's Club is going register-free and introducing an all-digital, AI-powered shopping experience for its customers, a move that has privacy advocates worried that the new AI tool could be used to unfairly target some customers with higher-priced items based on their shopping habits. The all-digital approach started with the reconstruction of a Sam's Club in Grapevine, a suburb of Dallas, that was severely damaged in 2022 by a tornado. When the retail location opened two years later it was the first of its kind to ditch its registers for a "Scan and Go" program that allowed customers to scan each item placed in their physical cart and pay through a mobile app. This program has since been piloted in nine Dallas metro locations and one store in Missouri, Retail Dive reported. Instead of handing a receipt to a Sam's Club employee to review before leaving the store, customers walk through an arch that's equipped with AI-powered cameras to capture images of the items in the cart and electronically match them with the items paid for through the app. Sam's Club did not disclose when the AI technology would be coming to California stores but Sam's Club has outlets in Torrance, Fountain Valley, El Monte and Riverside.