Updated
Updated · The New York Times · Oct 20
Mamdani Targets $119 Billion Customer-Service Scams as AI Chatbots Trap Users in 25-Minute Loops
Updated
Updated · The New York Times · Oct 20

Mamdani Targets $119 Billion Customer-Service Scams as AI Chatbots Trap Users in 25-Minute Loops

3 articles · Updated · The New York Times · Oct 20

Summary

  • A 25-minute fight over unexplained hotel charges led New York City consumer commissioner Zohran Mamdani to argue that AI chatbots are built less to solve problems than to wear customers down.
  • Mamdani says the systems bury phone access, interrupt complaints with canned menus and ignore requests for a human agent, creating a "doom loop" of repeated prompts and irrelevant offers.
  • He frames the issue as more than annoyance: automated service failures can delay medical care, block insurance claims, enable predatory subscriptions and worsen account-recovery problems.
  • Americans lose an estimated $119 billion a year to scams, he writes, casting AI-driven customer service as part of a broader consumer-protection threat rather than a mere tech inconvenience.

Insights

Are companies intentionally trapping you in AI chatbots just to wear you down and save money?
Is there a hidden escape route to bypass the frustrating AI doom loop and finally reach a human?