📰 News: Trouble Looms for Open AI As FTC Launches New Investigation Over Data and Privacy Concerns

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According to a report from The Washington Post, the Federal Trade Commission (FTC) has commenced an investigation into OpenAI. The inquiry is centered around determining whether the company's operations have infringed upon consumer protection laws by not providing sufficient transparency regarding privacy and data collection practices.

In a 20-page report, the Federal Trade Commission (FTC) mandated OpenAI to provide a detailed account of the methods and sources it gathers data for training its large language models (LLMs), the AI technology powering its ChatGPT chatbot. Additionally, the agency sought additional information regarding the safeguards implemented by OpenAI to ensure that personal data does not become part of the data sets used for training its LLMs.

In the event that OpenAI is found to have violated data collection and privacy laws, potential consequences could involve the imposition of fines and the imposition of stringent data management practices outlined in a consent decree, similar to the actions imposed on Twitter and Facebook in previous instances.