By Charles Keller
The Federal Trade Commission (FTC) has settled with Evolv Technologies, a Massachusetts-based company that makes AI-powered security screening systems. The FTC claimed Evolv misled customers about how accurately its Evolv Express scanners could detect weapons while ignoring harmless items. As part of the settlement, Evolv cannot make unproven claims about its products, and certain K-12 school customers can cancel their long-standing contracts.
Allegations Against Evolv Technologies
The FTC accused Evolv of making misleading claims about its scanners’ ability to detect all weapons and ignore harmless objects such as laptops, binders, and water bottles. Evolv marketed its scanners as more accurate, efficient, and cost-effective than traditional metal detectors. However, reports and real-world incidents raised concerns about these claims.
For example, in October 2022, an Evolv Express scanner failed to detect a seven-inch knife in a school, which was later used in a stabbing. After the incident, the school increased the scanner’s sensitivity, but this led to a 50% false alarm rate. A 2021 test at a Major League Soccer stadium in Columbus, Ohio, found that Evolv’s scanners missed two small handguns and only detected knives 58% of the time.
Additionally, the FTC alleged that Evolv altered a report from the National Center for Spectator Sports Safety and Security (NCS4) to remove negative findings about its scanners. Instead of sharing the full 52-page report, Evolv published a shortened 25-page version that omitted concerns about its scanners’ ability to detect weapons.
A separate NBC 5 investigation found that Evolv scanners were installed at major venues including Wrigley Field and Soldier Field in Chicago, as well as in many schools. In some cases, the scanners flagged more than 85,000 false positives on laptops between August 2023 and April 2024. Despite detecting five knives, the scanners caused significant disruptions due to these false alarms.
Under the settlement, Evolv is prohibited from making unverified claims about:
- How well its scanners detect weapons or ignore harmless objects
- The accuracy of its scanners compared to metal detectors
- The speed and cost savings of its system
- The role of AI in improving security screening
Additionally, Evolv must notify certain K-12 school customers that they can cancel contracts signed between April 1, 2022 and June 30, 2023. However, schools that participated in a 30-day trial before purchasing the scanners or those that bought 15 or more scanners were not eligible for the return exemption.
Evolv is also facing lawsuits and internal investigations. The company admitted to misreporting revenue due to improper sales practices, which led to the resignation or termination of several executives, including its CFO. Investors have sued Evolv, claiming they were misled about the company’s financial standing and product capabilities.
Despite the settlement, Evolv denies wrongdoing. Co-founder Michael Ellenbogan told the media, “While we admitted no wrongdoing, we’re happy to resolve this matter and are pleased the FTC did not challenge the fundamental effectiveness of the technology and nor did the resolution include any monetary relief.”
When NBC 5 asked for more details, an Evolv spokesperson told the media, “The FTC did not challenge the core efficacy of Evolv’s products. We stand behind our technology and are pleased that our customers believe in the importance of our technology and have validated its performance at scale, balancing consistent detection with a positive security experience.”
This case is part of the FTC’s larger effort to ensure AI-related claims are backed by facts. In 2024, the FTC launched Operation AI Comply, which targets misleading marketing of AI-based products. The FTC’s action against Evolv signals increased scrutiny of AI-powered security systems, particularly those used in schools and public venues.
Security experts warn about the risks of over-relying on AI security screening. Don Maye from the investigative firm IVPM said the FTC’s findings highlight major gaps in Evolv’s technology. He advised schools and other customers to carefully examine Evolv’s claims and consider alternative security measures.
Evolv’s credibility may have been further damaged by its decision to reportedly withhold key findings from the NCS4 report. Instead of sharing the full study, the company released a version that removed concerns about weapons detection failures, according to news reports. These actions raised doubts about Evolv’s transparency and reliability. Additionally, Evolv admitted to financial misstatements, which led to an SEC inquiry.
According to Professor Gil Fried of the University of West Florida, and Editor-in-Chief of Sports Facilities in the Law, “the implications for our industry are significant. As we are having a harder time finding employees to work events, we are relying more and more on technology to address concerns. If the technology cannot be reliable, whether being ineffective or breaking down, it will hamper our ability to bring folks into a venue as quickly as possible. This leads to fans getting upset and venues possibly having to increase personnel to ensure rapid processing of individuals.”
