The U.S. Federal Trade Commission has initiated an investigation into OpenAI, the Microsoft-backed startup behind the generative AI chatbot ChatGPT.
The FTC is citing potential violations of consumer protection laws and the compromise of personal reputations and data.
This regulatory scrutiny poses the most significant threat to OpenAI thus far.
In a 20-page document, the FTC requested records from OpenAI regarding the company’s approach to mitigating risks associated with its AI models. The agency aims to determine if OpenAI has engaged in unfair practices that have resulted in reputational harm to consumers.
This investigation comes as FTC Chair Lina Khan, known for her progressive stance, continues to take steps to rein in technology companies. The move follows a recent setback for the FTC in its attempt to block Microsoft’s acquisition of Activision Blizzard, with the agency planning to appeal the court decision.
The FTC’s information request to OpenAI includes inquiries about the measures taken by the company to address the potential generation of false, misleading, or disparaging statements about real individuals by its products.
The Washington Post initially reported on this investigation, but both the FTC and OpenAI declined to provide further comments at this time.
OpenAI launched ChatGPT in November, capturing the attention of consumers and sparking competition among large tech companies to showcase the transformative potential of AI-infused products in various societal and business contexts.
As the AI race intensifies, concerns about risks and the need for regulatory oversight have become widespread. Global regulators are working to apply existing regulations, including copyright and data privacy laws, to address two critical aspects: the data used to train AI models and the content they generate.
In the United States, Senate Majority Leader Chuck Schumer has called for comprehensive legislation to advance and establish safeguards for AI. He plans to hold a series of forums later this year to explore the topic.
OpenAI also faced regulatory issues in Italy earlier this year when the country’s regulator temporarily took ChatGPT offline, alleging that OpenAI had violated the European Union’s General Data Protection Regulation (GDPR), a comprehensive privacy framework enacted in 2018.
Streaming wars: can Apple compete with Spotify?
Spotify’s 2023 Wrapped has dropped prompting listeners to review their top artists, genres, and songs of the year.
Many are taking to social media platforms to share their listening trends with family, friends, coworkers, and even other fans on the internet.
While Apple Music, a rival platform, has its own year-end campaign—it hasn’t quite ignited the same online response.
Seth Schachner, the Managing Director at StratAmericas and a former Sony Music Executive joins Veronica Dudo to discuss. #Spotify #music #Apple #AppleMusic #SpotifyWrapped #streaming #featured #IN AMERICA TODAY
What Australia can learn from NZ’s supermarket inquiry
Coles and Woolworths, two of Australia’s largest supermarket chains, are about to face a Senate inquiry that aims to scrutinise their market dominance and business practices.
The inquiry’s parallels with a past New Zealand investigation highlight the growing concern over the duopoly’s impact on consumers and smaller businesses.
The Senate inquiry, set to begin next month, comes as a response to mounting public pressure and allegations of anti-competitive behavior in the grocery sector.
New Zealand example
Similar concerns led New Zealand to conduct its own inquiry into the supermarket industry back in 2019, resulting in recommendations for increased regulation and transparency.
The central question here is whether Coles and Woolworths wield too much power in the Australian market, potentially stifling competition and limiting choices for consumers.
With the New Zealand example as a cautionary tale, many are wondering if this inquiry will result in meaningful changes to the Australian grocery landscape.
Elon Musk: Nikki Haley’s ‘campaign is dead’
Elon Musk has thrown a verbal jab at former South Carolina Governor Nikki Haley, declaring her political campaign as “dead” on X.
The unexpected comment from the Tesla and SpaceX CEO has ignited a new wave of discussion within the political sphere, leaving many wondering about the implications for Haley’s political future.
In a tweet that garnered significant attention, Musk criticized Haley’s recent policy stance, writing, “Nikki Haley’s campaign is dead on arrival if she continues to ignore the urgency of climate change.
We need leaders who prioritize the planet’s future.” The tech mogul’s remarks come as Haley, a prominent Republican figure, has been exploring the possibility of running for president in the upcoming election cycle.
Musk’s statement has reignited the debate over climate change within the Republican Party, with many conservatives emphasizing economic interests over environmental concerns.
This raises questions about whether Musk’s endorsement or critique could influence the GOP’s stance on climate issues and potentially impact the 2024 presidential race.
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