, the FTC asked OpenAI to answer questions about how it gathers, vets, and protects data. The probe marks the first major regulatory obstacle for the rising AI company. FTC Chair Lina Khan later explained, “We've heard reports where people's sensitive information is showing up in response [to] an inquiry from somebody else. We've heard about libel, defamatory, flatly untrue things that are emerging. That's the type of fraud, deception that we're concerned about.
”Khan, an outspoken critic of Big Tech, has previously signaled a willingness to apply consumer protection law to AI, stating, “There is no AI exemption to the laws on the books.” Khan’s FTC has brought lawsuits against tech companies and reportedly plans to sue more. However, a judge’s rejection of the FTC’s bid to block Microsoft’s acquisition of Activision Blizzard reportedly led critics to raiseCoverage was fairly similar regardless of the source’s bias rating.