FTC Launches 2025 Investigation into ChatGPT Accuracy and Consumer Protection Concerns
In 2025, the Federal Trade Commission (FTC) has initiated a thorough investigation into OpenAI's ChatGPT, focusing on data accuracy and the safeguarding of consumer rights amid rising AI scrutiny.
The Federal Trade Commission (FTC) has officially begun an investigation into OpenAI, the creator of ChatGPT, scrutinizing the platform's data accuracy and the adequacy of consumer protections it offers.
Key Highlights
- The FTC has formally opened an inquiry into OpenAI’s ChatGPT.
- The investigation centers on potential inaccuracies in data and the effectiveness of consumer safeguards.
- Ongoing debates persist regarding the regulation and safety of artificial intelligence technologies.
According to reports from The Washington Post, the FTC has issued a request to OpenAI for documentation related to its risk management procedures. This marks the first regulatory probe into ChatGPT following the FTC's earlier commitment to closely monitor AI technologies for compliance with consumer protection laws. The investigation aims to assess whether OpenAI has engaged in unfair or deceptive practices that could harm consumers' reputations.
Recently, actress and comedian Sarah Silverman, along with two other authors, filed a class-action lawsuit against OpenAI and Meta. The lawsuit alleges these companies have utilized copyrighted artists’ works without permission to train their Large Language Models (LLMs).
In June, a public interest legal group initiated a lawsuit against OpenAI in a California federal court, accusing the company of "unlawful and harmful conduct" by using private data from millions of internet users without their informed consent to develop and market AI products.
These legal actions underscore the broader controversy over AI’s use of copyrighted material, a topic highlighted during OpenAI CEO Sam Altman’s testimony before a Senate Judiciary subcommittee in May. Altman emphasized that content creators should receive significant benefits when their works contribute to chatbot outputs.
The FTC had previously warned Congress in a June 2022 report about potential risks associated with AI, including inaccuracies, biases, and commercial surveillance, urging caution in adopting these emerging technologies.
The conversation around AI intensified this year following Microsoft’s integration of ChatGPT, pushing AI chatbots into mainstream use. Competitors like Alphabet and Baidu are also advancing their own LLM platforms. While the European Union prepares to vote on comprehensive AI regulations, the United States has yet to allocate sufficient resources to effectively govern this rapidly evolving field.
The FTC’s announcement comes shortly after Elon Musk revealed his new AI venture, xAI. Musk, a vocal critic of ChatGPT, aims to develop "TruthGPT," highlighting concerns about ChatGPT’s accuracy and potential biases.
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