BREAKING:

FTC Fines AI Accessibility Startup accessiBe $1M for Misleading Advertising

FTC Fines AI Accessibility Startup accessiBe $1M for Misleading Practices

The U.S. Federal Trade Commission (FTC) has fined accessiBe, a startup that markets AI-powered tools to improve website accessibility, $1 million for false advertising and compensating reviewers without proper disclosure.

Under a proposed order, accessiBe must pay $1 million, which may be used to refund its customers, and refrain from overstating the capabilities of its tools. The order also requires accessiBe to “clearly and conspicuously” disclose any connections to endorsers.

“Companies seeking accessibility solutions must trust that advertised products meet their promises,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection. “Overstating product capabilities is deceptive, and the FTC will act to stop it.”

Founded in 2018, accessiBe claims its plug-in can make websites compliant with the Web Content Accessibility Guidelines (WCAG) and shield clients from lawsuits under the Americans with Disabilities Act (ADA). However, critics, including advocacy groups and customers, argue that accessiBe’s products often fail to make websites fully accessible and can interfere with screen readers used by blind and low-vision users.

AccessiBe has faced backlash from the accessibility community and was denounced in 2021 by the National Federation of the Blind for “disrespectful and misleading” practices. That year, over 400 accessibility advocates signed an open letter urging companies to abandon automated tools like accessiBe’s.

The FTC further accused accessiBe of formatting sponsored reviews and articles to appear independent, misleading customers about their objectivity.

The proposed order, unanimously approved by the FTC’s five commissioners, is open for public comment for 30 days before the Commission decides whether to finalize it.

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