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[BUSINESS] · United States, Philippines · 2 sources

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FTC targets ticket-hoarding firm as businesses seek better bot controls

Federal regulators are taking legal action against REPS & Company Inc. for allegedly violating the Better Online Ticket Sales (BOTS) Act. The Federal Trade Commission (FTC) referred a lawsuit to the Department of Justice targeting executives Ryan Pancheri, Brian Archibald, and Nicholas Totagrande. The firm is accused of using offshore teams in the Philippines to operate thousands of fake accounts, bypassing ticket limits to purchase over 18.5 million tickets since 2022. This operation reportedly generated at least $120.8 million in net profits by reselling tickets on secondary markets.

In a related technological context, Fastly is highlighting the growing complexity of managing automated traffic. As AI tools increasingly allow users to automate shopping and purchasing tasks, businesses face the challenge of distinguishing between ‘meaningful bots’ that facilitate transactions and malicious scrapers or ticket-hoarding software. Fastly provides tools to help companies monitor and control AI chatbots, LLM crawlers, and automated scrapers to prevent business disruption while allowing legitimate automated activity.

Entities

Department of Justice · Fastly · Federal Trade Commission · REPS & Company Inc. · Ryan Pancheri