**OpenAI Faces GDPR Complaint Over Privacy Violations**
OpenAI, the US-based AI giant responsible for developing ChatGPT, has once again come under fire for potential privacy violations under the European Union’s General Data Protection Regulation (GDPR). A detailed complaint has been filed with the Polish data protection authority, accusing OpenAI of breaching multiple dimensions of the GDPR, including lawful basis, transparency, fairness, data access rights, and privacy by design.
The complaint alleges that OpenAI’s development and operation of ChatGPT, a novel generative AI technology, systematically violates EU privacy rules. It also suggests that OpenAI failed to conduct a prior consultation with regulators, as required by Article 36 of the GDPR. By launching ChatGPT in Europe without engaging with local regulators, OpenAI may have ignored potential risks to individuals’ rights.
This isn’t the first time OpenAI’s compliance with GDPR has been called into question. Earlier this year, Italy’s privacy watchdog ordered OpenAI to stop processing data locally due to concerns over lawful basis, information disclosures, user controls, and child safety. While ChatGPT was able to resume service in Italy after making adjustments, the Italian DPA’s investigation is ongoing.
Other European Union data protection authorities are also investigating ChatGPT, and a task force has been established to consider how to regulate rapidly developing technology like AI chatbots. Regardless of the outcome, the GDPR remains in effect, and individuals in the EU can report concerns to their local DPAs to prompt investigations.
One potential hurdle for OpenAI is its lack of established presence in any EU Member State for GDPR oversight. This means the company could face regulatory risks and complaints from individuals throughout the bloc. Violations of the GDPR can result in penalties of up to 4% of global annual turnover, and corrective orders from DPAs could require OpenAI to modify its technology to comply with EU regulations.
**Complaint Details Unlawful Data Processing for AI Training**
The recent complaint filed with the Polish DPA was brought by Lukasz Olejnik, a security and privacy researcher, with representation from Warsaw-based law firm GP Partners. Olejnik’s concern arose when he used ChatGPT to generate a biography of himself and discovered inaccuracies in the resulting text. He reached out to OpenAI to point out the errors and request correction, as well as additional information about their processing of his personal data.
According to the complaint, Olejnik and OpenAI exchanged emails between March and June of this year. While OpenAI provided some information in response to Olejnik’s Subject Access Request (SAR), the complaint argues that the company failed to provide all the required information under the GDPR, particularly regarding its processing of personal data for AI model training.
Under the GDPR, lawful processing of personal data requires a valid legal basis communicated transparently. Attempting to conceal the extent of personal data processing is a violation of both lawfulness and fairness principles. Olejnik’s complaint asserts that OpenAI breached Article 5(1)(a) by processing personal data unlawfully, unfairly, and in a non-transparent manner.
The complaint accuses OpenAI of acting untrustworthily and dishonestly by failing to provide comprehensive details of its data processing practices. OpenAI acknowledges the use of personal data for training its AI models but omits this information from the data categories or data recipients sections of its disclosures. The complaint also notes that OpenAI’s privacy policy lacks substantive information about the processing of personal data for training language models.
While OpenAI claims that it doesn’t use training data to identify individuals or retain their information, it is acknowledged that personal data is processed during training. Therefore, the GDPR’s provisions, including data subject access and information disclosure, apply to the operations involving training data. OpenAI’s commitment to minimizing personal data processed in the training dataset is commendable, but it doesn’t negate its obligation to comply with the GDPR’s requirements.
It’s worth noting that OpenAI did not seek permission from individuals whose personal data may have been processed during ChatGPT’s development…
**Editor’s Notes: Promoting Privacy and Ethical AI**
OpenAI’s recurring GDPR concerns highlight the importance of privacy and ethical considerations in AI development. As AI technology continues to evolve, it’s crucial for companies to prioritize compliance with privacy regulations and ensure fairness and transparency in data processing.
To maintain public trust and avoid regulatory repercussions, it’s essential for organizations like OpenAI to engage with local regulators and proactively assess potential risks to individuals’ rights. By doing so, they can demonstrate their commitment to respecting privacy and address any concerns before launching their products in new markets.
As we embrace the benefits of AI, it’s imperative that privacy and ethical standards keep pace with technological advancements. OpenAI’s ongoing interactions with DPAs and the outcomes of their investigations will shed light on the future of AI regulation in Europe.
For more news and insights on AI and its impact on society, visit the GPT News Room at [GPT News Room](https://gptnewsroom.com).
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