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US antitrust authorities are allegedly investigating ChatGPT maker OpenAI

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OpenAI founder Sam Altman

So-called generative AI is trained with vast amounts of data, which are often gathered on the Internet.

(Photo: REUTERS)

Dusseldorf According to media reports, the US antitrust authority FTC has initiated proceedings against the ChatGPT developer OpenAI because of a possible violation of consumer protection laws. In a 20-page subpoena, she speaks of “unfair or deceptive practices that compromise privacy or data protection.”

By this, the FTC means, for example, the errors that the language model makes when describing people. Experts in artificial intelligence (AI) speak of hallucinations of the models. Therefore, the authority requested information on how OpenAI deals with the risks associated with artificial intelligence (AI). The Washington Post first reported on it on Thursday.

The focus is on an incident from 2020 when, according to OpenAI, an error made conversations and financial information from users visible to everyone. Other questions relate to marketing, training AI models and handling user data. Neither the FTC nor OpenAI could initially be reached for comment.

Lawsuit against Google over training data

So-called generative AI is trained with vast amounts of data, which are often gathered from the Internet. This also includes personal entries on platforms such as Facebook, Instagram or Twitter. In addition, all inquiries and information provided by users flow into the database.

For this reason, Google, whose ChatGPT rival “Bard” is now also available in Germany, is already confronted with a billion-dollar lawsuit in the USA. The plaintiffs accuse the Alphabet subsidiary of using unauthorized personal and copyrighted information to train its AI and are seeking at least five billion dollars in damages.

FTC boss Khan has digital companies in her sights

The FTC’s move comes days after a federal court defeat in California to stop Microsoft’s acquisition of game maker Activision Blizzard. The FTC has appealed the decision.

After taking office with President Joe Biden’s election victory, the head of the agency, Lina Khan, focused on “next generation technologies”. The antitrust authorities want to “look ahead” and not only focus on rising prices for certain products, but on the general “damage caused by digital platforms”.
With material from Reuters

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