Understanding the Legal Restrictions on AI Outbound Calling
In telemarketing, the integration of AI has introduced new methods for reaching potential customers/leads. However, it's crucial to understand the legal framework governing these practices, especially in the United States. We’re often inquired about outbound calling campaigns. I’ll explain why using Bland for AI outbound calling, particularly for cold calling, is not permissible under current U.S. regulations.
The Telephone Consumer Protection Act (TCPA) and AI Outbound Calls
Enacted in 1991, the Telephone Consumer Protection Act (TCPA) serves as the cornerstone federal law regulating telemarketing practices. The TCPA explicitly prohibits initiating any telephone call to residential lines using an artificial or prerecorded voice without the prior express consent of the called party. This restriction applies to both voice calls and text messages. In February 2024, the Federal Communications Commission (FCC) reinforced this stance by declaring that calls utilizing AI-generated voices are classified as "artificial" under the TCPA. Consequently, employing AI-generated voices in cold calls without obtaining prior express written consent from recipients is a direct violation of the TCPA.
The Telemarketing Sales Rule (TSR) and Prerecorded Messages
The Federal Trade Commission's (FTC) Telemarketing Sales Rule (TSR) complements the TCPA by imposing additional safeguards on telemarketing activities. Notably, the TSR prohibits most prerecorded telemarketing messages unless the consumer has provided explicit prior written consent. This regulation ensures that consumers are not subjected to unsolicited automated calls, including those generated by AI. Even in scenarios where a business maintains an existing relationship with a consumer, the TSR mandates obtaining written consent before delivering prerecorded messages.
State-Level Regulations on AI Outbound Calling
Beyond federal laws, numerous states have enacted their own telemarketing regulations, often imposing stricter rules on automated and AI-generated calls. For instance, Florida's Telephone Solicitation Act broadly prohibits telemarketing calls made using automated systems or prerecorded voices without prior express written consent from the consumer. Similarly, states like Oklahoma and Indiana have implemented laws that either ban or heavily regulate unsolicited automated calls, including those utilizing AI voices. These state-level regulations further constrain the use of AI in outbound calling campaigns.
Enforcement Actions Highlighting the Risks
Regulatory bodies have actively enforced these laws to curb unauthorized AI-generated calls. A notable case involved Lingo Telecom, which faced a $1 million fine for transmitting AI-generated robocalls that mimicked President Joe Biden's voice to disseminate misleading information to voters.
Why Bland Cannot Be Used for AI Outbound Calling Campaigns
Given the stringent legal landscape, utilizing Bland for AI outbound calling campaigns, especially for cold calling, is not permissible. Our platform's AI voice capabilities would classify such calls as "artificial" under the TCPA, necessitating prior express written consent from recipients—a condition inherently unmet in cold calling scenarios. Moreover, the TSR's prohibition on unsolicited prerecorded messages further restricts the use of AI in telemarketing without explicit consent.
Alternative Applications of Our Technology
While outbound cold calling using AI voices is restricted, Bland’s technology can be effectively utilized in other areas that comply with legal standards. For instance, integrating AI into customer service operations can enhance efficiency and customer satisfaction. AI call centers can handle inbound inquiries, providing prompt and accurate responses. Additionally, deploying an AI receptionist can streamline call routing and appointment scheduling. These applications not only adhere to legal guidelines but also leverage Bland.ai's capabilities to improve business operations.
Conclusion
Navigating the complexities of telemarketing regulations is essential for businesses considering the integration of AI into their communication strategies. The use of voice AI in outbound calling campaigns, particularly for cold calling, is heavily restricted under both federal and state laws in the U.S. Therefore, employing Bland for such purposes would not be legally compliant.
