In a major victory for small businesses, the Federal Trade Commission (FTC) has issued a new final rule that prohibits the use of fake online reviews and deceptive endorsements. This landmark decision aims to create a more transparent and trustworthy online marketplace, empowering small companies to compete on a level playing field.

The ban covers phony testimonials by non-existent customers, company insiders, and even AI-generated reviews as well as followers. Violators can face fines of up to $51,744 per breach.