FTC announces investigation into ChatGPT over data handling

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ChatGPT investigation overview: 

• Who: The Federal Trade Commission (FTC) announced an investigation into OpenAI, the creator of the artificial intelligence chatbot ChatGPT. 
• Why: The FTC wants to know how OpenAI is handling any personal data obtained from ChatGPT users, among other things. 
• Where: ChatGPT is used by consumers nationwide.

The Federal Trade Commission (FTC) announced it has opened an investigation into whether Microsoft-backed OpenAI has been improperly handling personal data obtained by the software company from users of its ChatGPT platform. 

The FTC, according to The Washington Post, sent a list of detailed questions to OpenAI, requesting information on how it created its ChatGPT platform and how it is continuing to refine the technology. 

In addition to questions about OpenAI’s business operations and financial earnings, the FTC asked the San Francisco-based company to identify any third parties that were given access to its Large Language Model via its Application Programming Interface. 

OpenAI has also been asked to reveal how it obtained the data needed to develop the tech used to create its ChatGPT platform, and whether or not it has ever done a content analysis on the records for that data. 

OpenAI chief executive has been vocal in support of regulations in growing industry

OpenAI was also asked if it is taking steps to avoid training its technology with information that could be used to identify individual people, and if a system exists to prevent it from spreading statements that are “false, misleading or disparaging.” 

In another question, regulators asked OpenAI to reveal how it develops any new versions of its technology, and if there are procedures that exist to assess the risk and safety of a product prior to its release. 

Sam Altman, chief executive of OpenAI, has in the past been vocal in his support of regulations for the growing AI industry, according to Law360. 

Google and Meta have reportedly launched their own versions of AI chatbots as alternatives to ChatGPT, while the FTC has indicated it will be watching for potential competition issues that could arise in the space. 

The FTC said it is concerned companies who are entering the AI market earlier could end up achieving significant power over the space, Law360 reports. 

A law firm filed a lawsuit against OpenAI last month, accusing the company of violating copyright and privacy law by allegedly scraping the internet to obtain training material for its ChatGPT technology. 

Are you concerned about how ChatGPT interacts with your data? Let us know in the comments!

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