{"id":35614,"date":"2023-07-14T10:22:44","date_gmt":"2023-07-14T14:22:44","guid":{"rendered":"https:\/\/ifintechworld.com\/investing\/opinion-and-thus-the-chatgpt-backlash-has-begun\/"},"modified":"2023-07-14T10:22:46","modified_gmt":"2023-07-14T14:22:46","slug":"opinion-and-thus-the-chatgpt-backlash-has-begun","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=35614","title":{"rendered":"Opinion: And thus the ChatGPT backlash has begun"},"content":{"rendered":"
\n

A consumer-focused backlash against ChatGPT has begun. <\/p>\n

After shocking the world late last year with a vastly improved so-called chatbot, OpenAI, the startup that unleashed the unsettling \u2014 and often inaccurate \u2014 software into the world, is now the subject of a Federal Trade Commission probe.<\/p>\n

\n

On Thursday, the FTC sent a 20-page letter to OpenAI as part of an investigation into whether the chatbot has harmed consumers through its collection of data and publication of false information. The investigation, the latest in a long list of targeted but largely unsuccessful actions against Big Tech, was first reported by the Washington Post. <\/p>\n

Microsoft Corp.
\n MSFT,
\n +2.36%<\/bg-quote>
\n is a big investor in OpenAI.<\/p>\n

\u201cWe think the backlash has been growing,\u201d said Tim Giordano, a partner at the Clarkson Law Firm, which has filed class-action suits against both OpenAI and Google parent Alphabet Inc.
\n GOOG,
\n +1.32%<\/bg-quote><\/p>\n

GOOGL,
\n +1.31%<\/bg-quote>.<\/span>
\n Both lawsuits allege that the companies have engaged in theft of personal information and copyright infringement, among other allegations. \u201cPersonal data of every kind, especially conversational data between humans, is critical to the AI training process,\u201d attorneys contend in the Alphabet lawsuit, filed earlier this week.<\/p>\n

Giordano, whose firm is based in Malibu, Calif., noted that the backlash has intensified since Google updated its privacy policies earlier this month, disclosing that services from Bard to Cloud AI may be trained on public data scraped from the web. <\/p>\n

\u201cYou can either use the internet and surrender all your personal and copyrighted information \u2026 to test volatile AI products \u2026 or not use the internet at all,\u201d Giordano said. \u201cThe latter is not tenable, since our professional lives and our social engagement depend on the internet.\u201d<\/p>\n

Two additional class-action lawsuits have been filed this month by the Joseph Saveri Law Firm in San Francisco, with comedian Sarah Silverman as one of the three lead plaintiffs. One suit is against Open AI, and the other is against Meta Platforms Inc.
\n META,
\n +0.24%<\/bg-quote>,<\/span>
\n both alleging that the companies\u2019 artificial-intelligence models are being trained through the use of copyrighted materials from books written by the plaintiffs. <\/p>\n

The FTC under Lena Khan needs a good case, after two years of setbacks in high-profile actions against tech giants. Just this week, a U.S. district court judge denied the FTC\u2019s attempt to block Microsoft\u2019s proposed acquisition of Activision Blizzard Inc.
\n ATVI,
\n +1.43%<\/bg-quote>,<\/span>
\n on anticompetitive grounds. The FTC late Thursday launched an appeal of that decision. <\/p>\n

With U.S. regulators weighing in on the precarious issues of artificial intelligence scarce \u2014 especially after a Senate subcommittee appeared stymied as to next steps after a single hearing \u2014 litigation is seeking to force some issues, especially those involving consumer data privacy. <\/p>\n

\u201cCongress is not set up to act as quickly as they need to, and, at the rate technology is going, the FTC and class actions will fill the critical gap,\u201d Giordano said. <\/p>\n

Whether the class actions filed against Alphabet and Meta will fuel further regulatory probes by the FTC is a question investors are likely pondering at the moment. The FTC will certainly continue to seek a big win in a big case. <\/p>\n

Opinion (March 2018):<\/strong>\u00a0Fooling all the people all the time: the rise of artificial intelligence and fake news<\/p>\n<\/p><\/div>\n<\/div>\n

Read the full article here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

A consumer-focused backlash against ChatGPT has begun. After shocking the world late last year with a vastly improved so-called chatbot, OpenAI, the startup that unleashed the unsettling \u2014 and often inaccurate \u2014 software into the world, is now the subject of a Federal Trade Commission probe. On Thursday, the FTC sent a 20-page letter to […]<\/p>\n","protected":false},"author":1,"featured_media":35615,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"video","meta":{"footnotes":""},"categories":[239],"tags":[83],"class_list":["post-35614","post","type-post","status-publish","format-video","has-post-thumbnail","hentry","category-investing","tag-featured","post_format-post-format-video"],"yoast_head":"\nOpinion: And thus the ChatGPT backlash has begun | iFintechWorld<\/title>\n<meta name=\"description\" content=\"A consumer-focused backlash against ChatGPT has begun. 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