Which gas station chains are accused in the lawsuit?

The lawsuit names Marathon, Circle K, BP, Speedway, EG America, Walmart, and Albertsons as defendants. These companies collectively operate more than 1,700 gas stations in California, according to the lawsuit.

How much have gas prices increased according to the lawsuit?

Research into algorithmic fuel-pricing software found average price increases of about 6 cents per gallon, rising to as much as 30 cents per gallon in markets where many stations use the technology.

Who can be part of the class action lawsuit?

The lawsuit seeks to represent California drivers who bought gas at stations using Kalibrate software since June 2022.

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A federal lawsuit accuses Kalibrate, an AI-powered fuel-pricing software used by major gas station chains, of enabling illegal price-fixing that has cost California drivers millions.

Fortune AI4h ago3 min read

Key takeaway

A federal lawsuit alleges that Kalibrate, an AI-powered fuel-pricing software used by major U.S. gas station chains, has enabled illegal price coordination across California. According to the lawsuit, the software has driven average fuel price increases of about 6 cents per gallon, with some markets seeing increases as high as 30 cents, costing state drivers an estimated $134 million（約210億円） annually.

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3 Key Points

What happened
A class action lawsuit filed Monday accuses gas station operators including Marathon, Circle K, BP, Speedway, EG America, Walmart, and Albertsons of using Kalibrate software to illegally coordinate high prices in California. The lawsuit alleges the software helps stations avoid competing with each other and discourages lower pricing, calling it the 'central nervous system for a conspiracy to extinguish retail price competition.'
Why it matters
California already has among the nation's highest gas prices. The lawsuit claims research into algorithmic fuel-pricing software found average price increases of about 6 cents per gallon, rising to as much as 30 cents per gallon in markets where many stations use the technology—meaning a single cent increase at the pump drains $134 million（約210億円） from California drivers' wallets every year across the state.
What to watch
The lawsuit seeks to represent California drivers who bought gas at stations using Kalibrate software since June 2022. Kalibrate is headquartered in Manchester, England, and operates in more than 70 countries. This follows similar lawsuits against RealPage (accused of helping landlords drive up rent) and Agri Stats (accused of helping the meatpacking industry inflate grocery prices), both of which the Department of Justice settled in the past year.

FAQ

Which gas station chains are accused in the lawsuit?: The lawsuit names Marathon, Circle K, BP, Speedway, EG America, Walmart, and Albertsons as defendants. These companies collectively operate more than 1,700 gas stations in California, according to the lawsuit.
How much have gas prices increased according to the lawsuit?: Research into algorithmic fuel-pricing software found average price increases of about 6 cents per gallon, rising to as much as 30 cents per gallon in markets where many stations use the technology.
Who can be part of the class action lawsuit?: The lawsuit seeks to represent California drivers who bought gas at stations using Kalibrate software since June 2022.

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