FTC investigating ChatGPT-maker OpenAI for possible consumer harm

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FTC investigating ChatGPT-maker OpenAI for possible consumer harm

Sam Altman, CEO of OpenAI

Win Mcnamee | Getty Images News | Getty Images

The Federal Trade Commission is investigating ChatGPT-maker OpenAI to grasp if the corporate has violated consumer safety legal guidelines.

The Washington Post, which first reported the information, printed the FTC’s 20-page civil investigative demand (CID), just like a subpoena outlining key focuses of the probe. A supply accustomed to the matter confirmed the authenticity of the doc to CNBC. The FTC declined to remark.

The FTC says within the doc that the probe will deal with whether or not OpenAI has “engaged in unfair or deceptive privacy or data security practices” or “engaged in unfair or deceptive practices relating to risks of harm to consumers, including reputational harm, in violation of Section 5 of the FTC Act.”

AI has develop into a scorching problem in Washington, with lawmakers attempting to grasp whether or not new legal guidelines are wanted to guard mental property and consumer knowledge within the age of generative AI, which requires large datasets to be taught. The FTC and different companies have emphasised that they already have legal authority to pursue harm created by AI.

The probe can be an instance of the FTC being proactive in its oversight of a comparatively nascent expertise, in keeping with Chair Lina Khan’s stated goal of being “forward-looking” and being attentive to “next-generation technologies.”

The CID asks OpenAI to checklist the third events which have entry to its Large Language Models (LLMs), their prime ten clients or licensors, clarify how they preserve and use consumer data, how they receive data to coach their LLMs and extra. The doc additionally asks how OpenAI assesses threat in LLMs and the way it displays and offers with deceptive or disparaging statements about individuals.

The CID asks OpenAI to supply details about a bug the company disclosed in March 2020 that “allowed some users to see titles from another active user’s chat history” and “may have caused the unintentional visibility of payment-related information of 1.2% of the ChatGPT Plus subscribers who were active during a specific nine-hour window.”

OpenAI CEO Sam Altman has principally obtained a heat welcome in Washington up till this level, with lawmakers praising his openness to discussing the expertise and asking for laws round it. But some AI consultants have warned that policymakers must also remember that the corporate has its personal incentives in articulating its imaginative and prescient of regulation and urged them to engage a diverse set of voices.

OpenAI didn’t instantly reply to a request for remark.

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