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ChatGPT creator under investigation by FTC

Jul 17, 2023 - thedrinksbusiness.com
The Federal Trade Commission (FTC) is investigating OpenAI's artificial intelligence programme, Chat GPT, over concerns that its data gathering methods may be harmful to consumers. The AI programme, which has been making waves in the drinks industry, is under scrutiny for how it obtains the vast amounts of information it uses to respond to user requests. The FTC is probing whether OpenAI has engaged in unfair or deceptive practices related to data security or consumer harm, and whether the chatbot has provided false information that could cause reputational harm.

OpenAI, which could face fines if found to have breached protection laws, insists that its technology is safe and pro-consumer. However, Italian regulators have temporarily blocked Chat GPT over privacy concerns, and regulators in France, Spain, Ireland, and Canada are also closely monitoring the situation. US comedian Sarah Silverstone is suing Chat GPT for copyright infringement, alleging that the AI system had obtained illegal copies of her work.

Key takeaways:

  • The Federal Trade Commission (FTC) is investigating OpenAI's artificial intelligence programme, ChatGPT, over concerns of potential harm to consumers and data security issues.
  • ChatGPT has been used in the drinks industry, passing sommelier exams and creating cocktail recipes, but concerns have been raised about how it gathers its information.
  • The FTC is probing whether OpenAI has engaged in unfair or deceptive practices, and if found guilty, the company could face fines.
  • ChatGPT has faced legal issues in other countries as well, with Italian regulators blocking it over privacy concerns and US comedian Sarah Silverstone suing it for copyright infringement.
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