ChatGPT faces the biggest regulatory threat? The FTC is said to be investigating OpenAl

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Financial Associated Press, July 13

According to media reports citing sources, the U.S. Federal Trade Commission (FTC) has launched a comprehensive investigation into OpenAl on the grounds that the company is suspected of violating consumer protection laws by extorting personal reputation and Data is at risk. OpenAl is the development company of the chatbot ChatGPT. As a phenomenon- level application, ChatGPT was released in November last year. It has 100 million monthly active users within two months of its launch. It was once the fastest- growing consumer application in history, but this record has now been released by Meta. Disrupted by social app Threads.

Open ai, chat gpt


The emergence of ChatGPT has sparked a frenzy among technology companies for artificial intelligence (Al), and it has also raised concerns among regulators about the misuse of personal data. The U.S. FTC this week sent OpenAl a 20- page document asking it to provide records on how it addresses risks associated with Al models, according to documents seen by The Times. It is the most potent regulatory threat OpenAl has faced in the United States so far, while the company has come under pressure from regulators on similar grounds elsewhere.


At the end of March this year, the Italian Data Protection Agency launched an investigation into OpenAl, the development company of ChatGPT, on the grounds of alleged violation of data collection rules, and announced the ban on the use of ChatGPT, and temporarily restricted OpenAl from processing Italian user data. ChatGPT resumed service in Italy at the end of April after responding to the regulator's request for rectification. 

Earlier last month, the Dutch Data Protection Authority said it was concerned about the use of personal data by Al developers and sent a letter to OpenAl asking for more information from the company.

It is worth mentioning that OpenAl co- founder and CEO Sam Altman is launching a charm offensive in many countries around the world. He visited 22 countries in just five weeks. Altman tried to show regulators in various countries that OpenAl does not exclude regulation.


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