The Trade Desk Must Battle Investor Suit Over AI Platform Pickup

The Trade Desk Inc. and top executives must defend against investor allegations the advertising-technology company knowingly misrepresented the adoption and capability of its artificial-intelligence powered platform Kokai.

The public pension funds adequately alleged executives had access to adverse adoption data and knew as early as 2023 clients were unhappy with Kokai’s interface while touting the tool’s adoption and performance, Judge Christina A. Snyder said, denying The Trade Desk’s bid to dismiss the proposed class action.

Multiple allegations in the pension funds’ complaint bolstered an inference of executives’ intent or recklessness to defraud, according to the in-chambers order entered into the ...