Title: FTC Investigates OpenAI’s ChatGPT Over Data Privacy and Consumer Risks
The Federal Trade Commission (FTC) has launched an investigation into OpenAI, the developer behind the AI chatbot ChatGPT, to determine if the company engaged in unfair or deceptive practices related to data privacy, security, and potential harm to consumers. The regulatory body sent a letter to OpenAI, detailing the nature of the probe.
The FTC’s inquiry, as reported by the Washington Post, focuses on OpenAI’s privacy and security practices, particularly concerning hallucinations and the inadvertent disclosure of personal information by the Large Language Model. The investigation spans from June 1, 2020, until OpenAI fully complies with the FTC’s demands, which were outlined in a Civil Investigative Demand (CID).
One specific request made by the FTC is for OpenAI to provide a description of any actions taken to correct or address the Large Language Model’s tendency for hallucinations or unintentional exposure of personal data, as disclosed in the letter.
OpenAI, established in 2015, released the first public version of ChatGPT in November 2022. The chatbot has the ability to generate coherent text on various topics, although it has occasionally been found to fabricate information.
In response to reports of the investigation, OpenAI CEO Sam Altman expressed disappointment in the FTC’s approach through a tweet. He emphasized the company’s commitment to safety and being pro-consumer, noting their confidence in compliance with the law. Altman further stressed the extensive safety research conducted during the development of GPT-4 and the emphasis on user privacy, clarifying that their systems are designed to learn about the world rather than individuals. Altman also emphasized OpenAI’s transparency regarding the limitations of their technology.
Apart from the FTC investigation, OpenAI is currently facing other legal challenges. These include a defamation lawsuit from a talk show host who claimed that ChatGPT fabricated false legal claims against him, and another lawsuit involving comedian Sarah Silverman and other plaintiffs who alleged that OpenAI’s large language model infringed on their copyrighted works. OpenAI has chosen not to comment on these ongoing lawsuits.
As the investigation progresses, OpenAI has assured its commitment to working closely with the FTC. The company’s focus remains on ensuring the safety and reliability of their technology while adhering to legal and ethical standards.
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