Flight-tracking service FlightAware sues prediction market Kalshi over data use
FlightAware has filed a lawsuit accusing prediction market platform Kalshi of using its flight data and trademark without authorization to run gambling-style markets on flight cancellations. The company is seeking damages and a permanent injunction.
Flight tracking and data provider FlightAware has sued prediction market platform Kalshi, accusing it of using FlightAware's data and name without permission to operate gambling-style betting markets. The lawsuit was filed in New York, where Kalshi is already facing a separate suit from state Attorney General Letitia James over allegedly running an illegal gambling operation.
FlightAware says it was never informed that Kalshi intended to use its data or trademark, and that Kalshi has continued doing so even after receiving a cease-and-desist letter. Citing violations of its terms of use, misuse of its trademark and harm to its reputation, FlightAware is seeking damages from Kalshi as well as a permanent injunction barring the company from using its data going forward.
Betting on flight cancellations
Since July 2026, Kalshi has allowed users to bet on the percentage of flights cancelled at a given airport within a set timeframe. At the time, the company said it was verifying cancellation data using both FlightAware and the US Department of Transportation. However, FlightAware had already stated publicly that no company was, or would be, authorized to use data collected through its network for that purpose, warning that any customer violating its terms would have their account terminated.
According to the lawsuit, FlightAware only learned Kalshi was using its data after journalists began reaching out for comment. Once it discovered Kalshi planned to offer prediction markets described as "verified from FlightAware," it sent the company a cease-and-desist letter.
Beyond the alleged misuse of its data and trademark, FlightAware's complaint echoes concerns raised by the airline industry that betting markets tied to flight disruptions could incentivize people to intentionally cause disruptions for financial gain. Kalshi has attempted to limit such risks by enforcing insider-trading-style rules, including verifying users' employers for certain bets and barring politicians and athletes from wagering on elections or games they're involved in. Many US states still consider Kalshi's offerings to be gambling, while its federal regulator, the Commodity Futures Trading Commission, has so far managed to push back against several efforts to restrict the platform.
