Lawmakers press McDonald’s CEO on alleged AI pricing after reports of same burgers costing more at different outlets

U.S. lawmakers are now pressing McDonald’s CEO Chris Kempczinski for answers regarding the company’s use of artificial intelligence in setting menu prices. This move follows growing reports that the same burger items are costing different amounts at nearby outlets. 

According to Reuters, Senator Elizabeth Warren and four fellow lawmakers sent a letter to the CEO on November 2, 2026, to demand clarity on these practices. The group includes Representatives Greg Casar, Becca Balint, Jesus Garcia, and Mary Gay Scanlon. The letter highlights concerns that the company uses machine learning to find the optimal price for menu items at each location. This process allegedly relies on estimates of what local customers are willing to pay. 

The lawmakers explicitly stated their worry in the letter. “We are concerned that McDonald’s may be using AI to squeeze consumers into paying higher prices, and that its AI pricing tools may facilitate collusion between franchisees who should be operating as competitors,” the group wrote.

This inquiry comes after reports surfaced about significant price gaps

According to the official press release, two McDonald’s restaurants only two miles apart in Fresno, California, reportedly showed price differences as high as 21% for the same items. The lawmakers are worried because these pricing tactics are occurring while many people struggle with rising food costs. 

Five lawmakers asking McDonald's about algorithmic pricing. Wonder how much of that a franchisee even controls vs what corporate pushes

— Gal Danay (@GDanay) November 3, 2026

Some reports even suggest that certain menu prices doubled between 2014 and 2024. This growth happened three times faster than general inflation, which significantly impacts anyone trying to grab a quick, affordable meal.

The lawmakers are also digging into how McDonald’s gathers its information. They asked if the company uses individual data from its loyalty program and mobile app to fuel these pricing models. The letter requests a formal response by November 16. It asks specifically about the data used for these algorithms and whether the company pressures franchisees to follow the recommendations. There is a fear that if the company pushes these tools, it could hurt competition.

McDonald’s has previously pushed back on these claims

In a statement following earlier reports, the company called the accusations speculative and uninformed. It argued that these claims attempt to recast a standard business practice as something controversial. The company also clarified that its pricing tools do not base recommendations on individual customers. It maintains that franchisees are free to set their own prices and that the tools are not a mandate.

Adjusting prices based on sales patterns is nothing new it's just they do it with AI much quicker than they used to do with ledgers and accountants

— DoctorKG (@DoctorKG82) November 3, 2026

The company has been clear about its stance on the technology. “AI does not set the price of a Big Mac or any other menu item,” the company said after a recent class action lawsuit was filed. It insists that franchisees make their own pricing decisions and that using analytics is a common practice across the industry. Despite this, three franchisees said in September that the pricing engine recommendations have widened the price gaps between nearby locations.

The lawmakers are not just looking at the tech itself, but how it is pushed onto store owners. They questioned whether McDonald’s is using new business standards to pressure franchisees into adopting these AI prices. They warned that if competing stores rely on a shared tool informed by nonpublic data, it could lead to antitrust issues. They believe this goes beyond standard business practices.

Two consumer class action lawsuits have also appeared in federal court 

The class action lawsuits allege that the company illegally coordinates menu prices across both company-owned and franchised locations through its centralized system. The legal pressure is mounting alongside the legislative inquiry. The lawmakers want to know what antitrust reviews, if any, the company performed before deploying these tools. They are asking for a full breakdown of the data sources and the extent of franchisee adoption. 

This whole situation illustrates how much tech is changing even the most basic parts of our daily lives. Finding out that your lunch price might be determined by a machine learning model is a strange reality. It is an example of how data collection often impacts our wallets in ways we might not expect. 

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