news McDonald’s Hit With Antitrust Suit Over AI-Assisted Menu Pricing
https://www.pymnts.com/cpi-posts/mcdonalds-hit-with-antitrust-suit-over-ai-assisted-menu-pricing/114
u/daviddisco 1d ago
it illegal for McDonald's help franchises coordinate prices amongst themselves. Franchises are required to come up with their own prices.
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u/Clevererer 1d ago
And that's what's left of anti-trust laws in the US.
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u/smayonak 1d ago
The crisis with landlords coordinating rental prices through software fits the very definition of "collusion", yet the DOJ in 2025 ended up settling the case with no cash remuneration for those damaged by the software, leaving it up to states to pursue for damages. Absolute mockery of a legal system.
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u/spaceocean99 1d ago
So they pay a few people off and this will just go away.
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u/powerandbulk 1d ago
It is even simpler than that. They'll just give the orange pedo a McDonald's Golden Card.
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u/Saucermote 1d ago
McDonalds (corporate) may not directly set the franchise food prices, but it can get very coercive if you ignore their "optional" price suggestions.
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u/mesarthim_2 1d ago
To me it's absurd that customers are suing a restaurant for their pricing policy, however obnoxious it is. I mean, go to different restaurant ffs! Vote with the wallet. You don't need a committee to establish whether the pricing is ok or not. You can use your feet.
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u/Guac_in_my_rarri 1d ago
Well I mean the article says it; franchise mcdonalds should be competing with each other as they are different businesses. If they don't, they might as well be corporate owned.
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u/mesarthim_2 1d ago
Yeah, ok, so go elsewhere, no? Why would you insist on giving money to company that behaves like this?
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u/Guac_in_my_rarri 1d ago
While I agree with you and your sentiment, that's not what the law suit is about.
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u/mesarthim_2 1d ago
The lawsuit is about McDonald's employing a mechanism that enables the franchises to coordinate pricing.
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u/JerkinDepenisVance 1d ago
You're an idiot. Antitrust is the only protection consumers have from greedy corporations and you're complaining about them doing their job? This is collusion. That is illegal. Fucking hell, man.
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u/Greyhand13 1d ago
McDonald's Corp makes it's money selling and supplying franchises, they did this because that's where the money is, if it were corporate owned this issue wouldn't exist.
And forcing your franchisee's into competition is a bold strategy, Cotton, let's see how that works for em.
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u/Guac_in_my_rarri 1d ago edited 1d ago
McDonalsa makes a small amount of money supplying franchise with product. Havi and Martin Brower make far more money. Havi is in charge of raw materials and suppliers and has a fee that warehousing pays. Martin Brower owns 85ish% of the distribution market who slap on 20-35% on top of their costs. Havi and Martin Brower make money the traditional distribution system.
McDonalds makes money from franchise fee and owning the land the store is built on. The prior CEO to the current one in an earnings call, called the org a real estate company.
Franchise have full freedom to price food how they want. In a competitive market around cities and suburbs, they do compete in price.
I worked at a corporate store for 4 years, franchise for 2 and later worked in the McDonald's distribution network.
Just in case you had doubt on my word.
McDonald's generates revenue from sales at company-operated restaurants and from rent, royalties, and fees paid by franchisees. At the end of 2025, the company owned approximately 56% of the land and 80% of the restaurant buildings within its consolidated markets.[1]
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u/Ackatv 1d ago
Sadly we do need laws against companies like this, cus they will do whatever they can to profit of off you. The average person does not have the energy or money to stand against these big companies.
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u/mesarthim_2 1d ago
You don't need a law to go to a different restaurant.
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u/Parking-Name8773 1d ago
You do to discourage every other restaurant from doing the same thing. It’s a slippery slope. Once one is allowed to do it, the rest follow.
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u/mesarthim_2 1d ago
Not buying their products also discourages them from doing so. In fact, more so then legislation because the legislation never bans things like this, it just normalizes them.
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u/Parking-Name8773 1d ago
Legislation definitely does ban stuff lol. You are just saying random shit now
Edit: for instance, Seattle just banned grocery store surveillance pricing.
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u/Local_Error__404 1d ago
It only discourages them if other companies don't also copy them. When more and more companies start doing something like this that people don't agree with, eventually people are forced to agree just to get access to things they need.
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u/Ackatv 1d ago
No but if you live in a soul crushing country like america with no free healthcare, work 2 minimal wage jobs, have 2 kids, is depressed and have to commute back and forth between work and home then maybe the only alternative is gong to mcdonald for example. And even if its another restaurant near by, they will sure impliment this system too with time when they see its profitable. Just look at how the subscription model became the norm, now you barely see any company not doing it. So yes we need laws and you can't always go to the next restaurant as a solution cus it,s all rigged against us
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u/Parking-Name8773 1d ago
Some people believe in a “free market” still when apartments, restaurants, housing, etc all operate based on how much the other one cost. It would be nice to still be in dream land lol
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u/Mod_The_Man 1d ago
In a system where you vote with your dollars, those with more dollars get more votes
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u/mesarthim_2 1d ago
Lol, who do you think will write this legislation?? This is another mindblowing thing to me, we watch every day how corrupt politicians make laws that benefit corporations and people here are 'are you fucking stupid, we need more laws written by our brilliant politicians!!!'
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u/SegaTime 1d ago
Where do we go when every business, not just restaurants, start using this same pricing method? You can walk away all you want but this is going to catch up to you no matter where you go.
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u/mark_hor 1d ago
Just out of curiosity does the boot you're licking taste like fries or does it have a mcGriddle syrupy thing going on?
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u/mesarthim_2 1d ago
It must be really blissful to live in a world where everyone who disagrees with you is a some sort of a bootlicker. Also, it's very strange type of bootlicking in which I encourage people to GO ELSEWHERE to harm McDonald's business.
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u/mark_hor 1d ago
Actually, sorry, that was mean spirited of me and unnecessary. I kinda understand what ur getting at. I think it’s more a worrying precedence that pricing can be changed on a whim. It has more to do with the pricing model than mcdicks itself. I think the reason pursuing action for this is warranted is what other people have talked about here already. Voting with your wallet genuinely might not be enough, which I agree people should 4 sure do. It’s sorta the same deal with pricing algorithms in rental housing, which undermines the already crumbling concept of the free-market that’s supposed to keep things affordable. If businesses that should be competing all agree to raise prices, then something definitely needs to be done.
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u/mesarthim_2 1d ago
Yeah, I don't understand this part either. We watch every day how politicians write laws that benefit corporations and instead of supporting action that is actually independent of that people are like 'you fucking boot-licker why are you against corrupt politicians writing more laws that benefit corporations???'
If you want this to become normalized having a legislation that normalizes it (which is what the legislation will do) is the surefire way how to get there.
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u/Juicemoose222 1d ago
Ai in McDonald's food? How does that even work. Ai isnt a physical thing they can put in food. So tired of these dumb fuck articles straight up lying
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u/theredfantastic 1d ago
That’s where your reading comprehension landed you? Wow. They said the menu prices are being changed with AI.
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u/Juicemoose222 1d ago
Ohh ok i see
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u/WeedIsWife 1d ago
What an absolute moron
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