OpenAI has turned the tech industry upside down in just a few months. The launch of ChatGPT has dazzled college students and tech CEOs alike and set off a new "race" in the tech sector, according to (NASDAQ: MSFT) CEO Satya Nadella. Indeed, his company, which has invested $13 billion in OpenAI, and Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) are already battling for supremacy in generative AI.

However, the emergence of ChatGPT and other AI chatbots has also sparked a new round of concerns at the potentially negative consequences of artificial intelligence, which is fast surpassing human capabilities in a broad range of subjects. CEOs including OpenAI's Sam Altman have asked for artificial intelligence to be regulated, and a petition from the Future of Life Institute signed by academics and even Tesla CEO Elon Musk called for a six-month "pause" in generative AI development.

Now, OpenAI is getting its first serious pushback from regulators because the Federal Trade Commission (FTC) has opened an investigation into the AI start-up. In a 20-page letter, the agency said it's examining OpenAI's security practices, including how it trains its models, what kind of data it uses, and whether it violates privacy rules.

Continue reading

Source Fool.com