Nine out of 10 business-to-consumer (B2C) brands have experienced brand infringement triggered by artificial intelligence and the resulting financial losses, a new report found.
According to MarqVision's "2026 Brand Intelligence Report" released Thursday, 89% of B2C brands said they have experienced the "silent AI tax." The silent AI tax refers to wasted costs arising from AI-powered brand impersonation and related activities. AI-generated brand impersonation content and counterfeit products erode brand value, negatively affecting sales and marketing. The term describes costs that arise from such damage but do not contribute to brand growth. MarqVision published the findings based on a survey of 96 global brands conducted in January this year.
Among the types of AI-driven brand infringement, "deepfake or AI-generated promotional content" was the most commonly cited, with 60% of brands reporting such experiences. "AI-powered chatbots impersonating brands" ranked second at 48%, followed by "auto-generated fake social media accounts" at 40%.
Brands are deeply concerned about AI-powered brand impersonation and counterfeit product distribution. Some 64% of brands said "AI-driven brand infringement poses an existential threat to their business." Brands recognize the severity of the issue because intellectual property impersonation leads to revenue leakage. Counterfeit sellers impersonate brands to run viral marketing campaigns on social media, then sell counterfeit goods that eat into sales of genuine products. In the survey, 78% of brands said they "estimate losing more than 5% of annual revenue due to brand impersonation."
Beyond revenue losses, respondents also reported brand reputation damage (67%), increased customer service costs (52%), and negative reviews from counterfeit product buyers (49%).
"Brand protection in the AI era is no longer a matter of reactive response or operational costs — it is a core decision-making area that determines revenue stability and brand trust," MarqVision CEO Lee In-seob said.