AP

The FTC reportedly opens investigation in ChatGPT for consumer protection issues

Jul 18, 2023, 5:45 AM | Updated: 2:32 pm

FILE - The OpenAI logo is seen on a mobile phone in front of a computer screen displaying output fr...

FILE - The OpenAI logo is seen on a mobile phone in front of a computer screen displaying output from ChatGPT, March 21, 2023, in Boston. The U.S. Federal Trade Commission has launched an investigation into ChatGPT creator OpenAI and whether the artificial intelligence company violated consumer protection laws by scraping public data and publishing false information through its chatbot, according to reports in the Washington Post and the New York Times. (AP Photo/Michael Dwyer, File)
Credit: ASSOCIATED PRESS

(AP Photo/Michael Dwyer, File)

The U.S. Federal Trade Commission has launched an investigation into ChatGPT creator OpenAI and whether the artificial intelligence company violated consumer protection laws by scraping public data and publishing false information through its chatbot, according to reports in the Washington Post and the New York Times.

The agency sent OpenAI a 20-page letter requesting detailed information on its AI technology, products, customers, privacy safeguards and data security arrangements, according to the reports. The FTC did not immediately respond to a request for comment.

The FTC’s move represents the most significant regulatory threat so far to the nascent but fast-growing AI industry, although it’s not the only challenge facing these companies. Comedian Sarah Silverman and two other authors have sued both OpenAI and Facebook parent Meta for copyright infringement, claiming that the companies’ AI systems were illegally “trained” by exposing them to datasets containing illegal copies of their works.

On Thursday, OpenAI and The Associated Press announced a deal under which the AI company will license AP’s archive of news stories.

 

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The FTC reportedly opens investigation in ChatGPT for consumer protection issues