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The Federal Trade Commission Investigates ChatGPT

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The Federal Trade Commission Investigates ChatGPT

The popular software that uses artificial intelligence to produce material that is uncannily human-like is potentially at risk due to the Federal Trade Commission’s investigation into whether OpenAI’s ChatGPT has harmed consumers by posting inaccurate information about them.

According to a civil subpoena issued to the business by the Federal Trade Commission and made public on Thursday, the agency is looking into ChatGPT to see if OpenAI has “engaged in unfair or deceptive practices relating to risks of harm to consumers, including reputational harm.”

In one of the questions, the corporation is asked to “describe in detail the extent to which you have taken steps to address or mitigate risks that your large language model products could generate statements about real individuals that are false, misleading, or disparaging.”

The Federal Trade Commission Investigates ChatGPT
The Federal Trade Commission Investigates ChatGPT

The federal government’s involvement in monitoring developing technologies has significantly increased as a result of the latest FTC probe, which is being led by Chair Lina Khan. However, the agency, which has recently suffered judicial defeats in its antitrust enforcement operations, may have to take another perilous step into new territory.

“When ChatGPT says something wrong about somebody and might have caused damage to their reputation, is that a matter for the Federal Trade Commission’s jurisdiction? I don’t think that’s clear at all,” Adam Kovacevich, the founder of the business trade association Chamber of Progress, said.

Such issues “are more in the realm of speech, and it becomes speech regulation, which is beyond their authority,” the speaker claimed.

Requests for comment from OpenAI went unanswered.

As evidenced by a federal judge’s decision to reject the FTC’s attempt to stop Microsoft’s acquisition of Activision this week, critics claim Khan has occasionally overstepped the FTC’s authority. The Federal Trade Commission has broad authority to regulate unfair and deceptive business practices that can harm consumers.

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