End of a Prolonged Investigation
Italy’s data protection authority announced on Friday that it has imposed a fine of 15 million euros on OpenAI following a nearly two-year probe into the privacy practices of its AI chatbot, ChatGPT. This decision marks the conclusion of an investigation that started when Italy became the first Western nation to temporarily block the service in March 2023 due to privacy concerns.
Reasons for the Fine
The Italian Data Protection Authority (GPDP) highlighted multiple breaches in its statement. OpenAI was criticized for not reporting a data breach from March 2023 to the authorities. Moreover, the company was found to have used personal data to train ChatGPT without establishing a legal basis for such use, thereby breaching transparency and user information obligations.
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Concerns Over Child Protection
Another significant issue raised by the GPDP was the lack of age verification mechanisms, potentially exposing children under the age of 13 to inappropriate AI-generated content.
Additional Measures
Beyond the financial penalty, the authority has mandated OpenAI to launch a comprehensive six-month campaign across various media platforms. This campaign aims to educate the public on how ChatGPT processes personal data, promoting a better understanding of privacy rights and AI usage.