ChatGPT is in legal trouble in a number of countries. What do regulators not like?

ChatGPT is in legal trouble in a number of countries. What do regulators not like?

At the end of March, the Center for Artificial Intelligence and Digital Policy (CAIDP) filed a complaint against OpenAI. Experts argue that the GPT-4 AI model does not comply with the rules of the US Federal Trade Commission (FTC). Meanwhile, in Italy , access to ChatGPT was restricted, citing a violation of local privacy laws. German regulators have also started talking about such a step . We understand what the creators of the chatbot are accused of.

American experts’ claims

Researchers at the non-profit organization CAIDP work on issues of technological ethics and the safety of artificial intelligence. They filed a complaint with the FTC demanding that OpenAI be investigated to see if it violates consumer protection laws. In particular, concerns are related to the latest version of the GPT-4 generative language model . 

According to Mark Rotenberg, the leader of CAIDP, it is necessary to suspend the further deployment of large models and introduce strict government control over each release. The organization believes that advanced text generation tools pose a threat to public safety. For example, they can be used to create malicious code, promote and reinforce stereotypes, and collect sensitive information.

What about Italy and Germany?

Italy’s data protection agency has identified a violation in the processing of users’ private information via ChatGPT. Regulators do not see a legal basis that justifies the massive collection and storage of data by a US company for the purpose of training algorithms. In addition, OpenAI was reproached for not checking the age of clients, despite the restriction of 13+.

As a result, the chatbot is temporarily blocked in the country. Now Italian cards are not accepted for paying for a subscription, and the site opens only with a VPN. The ban will last until the developers eliminate the claims, for which another 20 days are given. In turn, representatives of OpenAI stated that ChatGPT’s working methods comply with European privacy laws. The company’s lawyers will work through the situation with the hope of restoring the functionality of the service in Italy.

The German authorities also do not exclude the possibility of blocking ChatGPT. A separate investigation into the security of user data is currently underway. Additional information on this issue was requested from Italy. Officials have yet to announce specific plans.

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