AI Robocalls Are Illegal:
What Should You Do Now?

Throughout 2024, customers received 52.8 billion AI robocalls*. In response, the Federal Communications Commission (FCC) defined AI sales calls as “artificial” and made robocalls illegal. So, what happens now?

In this article, we’ll provide a comprehensive overview of the current legislation and its origins, helping you navigate the evolving cold-calling landscape under the Telephone Consumer Protection Act (TCPA). Keep reading to learn more!

Key Takeaways:

AI robocalls use advanced automation to simulate real conversations, making them harder to detect than traditional robocalls.
Businesses and consumers suffer from AI robocalls, facing financial losses, legal risks, and declining customer trust.
Transitioning away from robocalls requires compliance with FCC guidelines, adopting ethical AI tools, and updating consent protocols.

What Are AI Robocalls?

Robocalls are nothing new in the sales space. Evolving from a combination of auto-dialers and Interactive Voice Response (IVR) systems, “traditional” robocalls were fully scripted with little to no room for customer interaction. But all that changed with AI.

FYI: If you’re thinking, “Are cold calls illegal?” or “Are auto dialers illegal?” then there’s no need to worry. The answer to both is “no.” But that is not the case for robocalls.

AI robocalls leverage artificial intelligence (AI), machine learning (ML), and natural language processing (NLP) to simulate real-sounding and free-flowing conversations. They were used for sales, support, and even political outreach. But mainly scams.

Why Are AI Robocalls Now Illegal?

AI robocalls were extensively used in scamming campaigns, often using voice cloning to impersonate celebrities, politicians, and businesses. Combined with the volume capabilities of auto-dialers, these attempts resulted in 52.8 billion fraudulent calls.

Following public outcry, the FCC and FTC (Federal Trade Commission) made the use of AI in cold calls illegal. It is only allowed if it is explicitly disclosed, the call begins with human interaction, and the receiving party gives prior and explicit consent.

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What Is the Impact of Robocalls on Businesses?

At best, the people affected by scam AI robocalls experienced some brief annoyance and, at worst, lost a lot of money – leading to a combined loss of $108 million. The scammers were hit with significant fines and lawsuits. And the impact on businesses:

Legal & Operational Risks: Businesses relying on AI sales calls must immediately audit outreach methods to avoid legal exposure. Failing to comply can result in a $50,000 fine per call and up to $150,000 per willful violation.
Customer Sentiment: Combined with the bad press associated with the recent scam campaigns and general distrust of AI voice agents, companies who use illegal AI risk upsetting customers,losing business and market share.

How to Comply & Transition with the Robocall Ban?

Would you rather avoid breaking the FCC AI bans while still making the most of the tools you have access to and boosting your outreach? Follow this checklist:

Conduct a Full AI Audit: Identify all AI-driven tools in your outreach processes, including voice assistants, auto-dialers, and IVR systems.
Remove Non-Compliant AI: Immediately discontinue AI tools that generate synthetic voices or interact with customers without explicit consent.
Update Consent Protocols: Implement TCPA-compliant consent methods, ensuring written agreements before AI-generated interactions.
Revise Call Scripts: Create standardized scripts that clearly disclose AI involvement in outbound calls.
Train Sales & Support Teams: Educate employees on FCC AI robocall regulations and how to avoid compliance violations.
Implement Real-Time Compliance Tracking: Use CRM-integrated tools that monitor AI usage and log consent data.
Adopt Ethical AI Solutions: Leverage AI for analytics, sentiment tracking, and compliance monitoring rather than direct consumer interactions.
Monitor Legal Updates & Enforcement Trends: Stay informed about evolving FCC and FTC regulations to proactively adjust outreach practices.

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Even as the FCC bans AI robocalls, you can still take full advantage of the benefits that auto-dialers and AI capabilities offer. With CloudTalk’s Conversational Intelligence and the power-duo of its Power and Smart Dialer, you can reach up to 3x more prospects.

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