Despite challenges, the FTC is using innovative tactics to combat fraud, including a recent voice-cloning challenge to detect fraudulent use of the technology. The FTC is also examining what openness means in the AI context, and is watching for AI hype where the value of a product may be overstated. The agency has already dealt with several cases of deceptive advertising related to AI and will continue to scrutinize this area.
Key takeaways:
- The U.S. Federal Trade Commission (FTC) is set to examine the rise of AI technology across all fronts, with a focus on ensuring fair competition and preventing potential harms, according to FTC Chair Lina Khan.
- The FTC is particularly concerned about the increase in consumer complaint cases related to AI technologies, such as voice-cloning fraud.
- The agency is also looking into what 'openness' truly means in the context of AI, aiming to prevent "open first, closed later" dynamics seen in the Web 2.0 era.
- The FTC is also scrutinizing the industry for AI hype, where the value of the product is being overstated, and has already had a couple of AI hype/deceptive advertising cases.