Privacy

ChatGPT’s ‘hallucination’ problem hit with another privacy complaint in EU

Comment

OpenAI logo and Sam Altman
Image Credits: OLIVIER DOULIERY / AFP / Getty Images

OpenAI is facing another privacy complaint in the European Union. This one, which has been filed by privacy rights nonprofit noyb on behalf of an individual complainant, targets the inability of its AI chatbot ChatGPT to correct misinformation it generates about individuals.

The tendency of GenAI tools to produce information that’s plain wrong has been well documented. But it also sets the technology on a collision course with the bloc’s General Data Protection Regulation (GDPR) — which governs how the personal data of regional users can be processed.

Penalties for GDPR compliance failures can reach up to 4% of global annual turnover. Rather more importantly for a resource-rich giant like OpenAI: Data protection regulators can order changes to how information is processed, so GDPR enforcement could reshape how generative AI tools are able to operate in the EU.

OpenAI was already forced to make some changes after an early intervention by Italy’s data protection authority, which briefly forced a local shut down of ChatGPT back in 2023.

Now noyb is filing the latest GDPR complaint against ChatGPT with the Austrian data protection authority on behalf of an unnamed complainant (described as a “public figure”) who found the AI chatbot produced an incorrect birth date for them.

Under the GDPR, people in the EU have a suite of rights attached to information about them, including a right to have erroneous data corrected. noyb contends OpenAI is failing to comply with this obligation in respect of its chatbot’s output. It said the company refused the complainant’s request to rectify the incorrect birth date, responding that it was technically impossible for it to correct.

Instead it offered to filter or block the data on certain prompts, such as the name of the complainant.

OpenAI’s privacy policy states users who notice the AI chatbot has generated “factually inaccurate information about you” can submit a “correction request” through privacy.openai.com or by emailing dsar@openai.com. However, it caveats the line by warning: “Given the technical complexity of how our models work, we may not be able to correct the inaccuracy in every instance.”

In that case, OpenAI suggests users request that it removes their personal information from ChatGPT’s output entirely — by filling out a web form.

The problem for the AI giant is that GDPR rights are not à la carte. People in Europe have a right to request rectification. They also have a right to request deletion of their data. But, as noyb points out, it’s not for OpenAI to choose which of these rights are available.

Other elements of the complaint focus on GDPR transparency concerns, with noyb contending OpenAI is unable to say where the data it generates on individuals comes from, nor what data the chatbot stores about people.

This is important because, again, the regulation gives individuals a right to request such info by making a so-called subject access request (SAR). Per noyb, OpenAI did not adequately respond to the complainant’s SAR, failing to disclose any information about the data processed, its sources, or recipients.

Commenting on the complaint in a statement, Maartje de Graaf, data protection lawyer at noyb, said: “Making up false information is quite problematic in itself. But when it comes to false information about individuals, there can be serious consequences. It’s clear that companies are currently unable to make chatbots like ChatGPT comply with EU law, when processing data about individuals. If a system cannot produce accurate and transparent results, it cannot be used to generate data about individuals. The technology has to follow the legal requirements, not the other way around.”

The company said it’s asking the Austrian DPA to investigate the complaint about OpenAI’s data processing, as well as urging it to impose a fine to ensure future compliance. But it added that it’s “likely” the case will be dealt with via EU cooperation.

OpenAI is facing a very similar complaint in Poland. Last September, the local data protection authority opened an investigation of ChatGPT following the complaint by a privacy and security researcher who also found he was unable to have incorrect information about him corrected by OpenAI. That complaint also accuses the AI giant of failing to comply with the regulation’s transparency requirements.

The Italian data protection authority, meanwhile, still has an open investigation into ChatGPT. In January it produced a draft decision, saying then that it believes OpenAI has violated the GDPR in a number of ways, including in relation to the chatbot’s tendency to produce misinformation about people. The findings also pertain to other crux issues, such as the lawfulness of processing.

The Italian authority gave OpenAI a month to respond to its findings. A final decision remains pending.

Now, with another GDPR complaint fired at its chatbot, the risk of OpenAI facing a string of GDPR enforcements across different Member States has dialed up.

Last fall the company opened a regional office in Dublin — in a move that looks intended to shrink its regulatory risk by having privacy complaints funneled by Ireland’s Data Protection Commission, thanks to a mechanism in the GDPR that’s intended to streamline oversight of cross-border complaints by funneling them to a single member state authority where the company is “main established.”

ChatGPT is violating Europe’s privacy laws, Italian DPA tells OpenAI

Poland opens privacy probe of ChatGPT following GDPR complaint

More TechCrunch

After Apple loosened its App Store guidelines to permit game emulators, the retro game emulator Delta — an app 10 years in the making — hit the top of the…

Adobe comes after indie game emulator Delta for copying its logo

Meta is once again taking on its competitors by developing a feature that borrows concepts from others — in this case, BeReal and Snapchat. The company is developing a feature…

Meta’s latest experiment borrows from BeReal’s and Snapchat’s core ideas

Welcome to Startups Weekly! We’ve been drowning in AI news this week, with Google’s I/O setting the pace. And Elon Musk rages against the machine.

Startups Weekly: It’s the dawning of the age of AI — plus,  Musk is raging against the machine

IndieBio’s Bay Area incubator is about to debut its 15th cohort of biotech startups. We took special note of a few, which were making some major, bordering on ludicrous, claims…

IndieBio’s SF incubator lineup is making some wild biotech promises

YouTube TV has announced that its multiview feature for watching four streams at once is now available on Android phones and tablets. The Android launch comes two months after YouTube…

YouTube TV’s ‘multiview’ feature is now available on Android phones and tablets

Featured Article

Two Santa Cruz students uncover security bug that could let millions do their laundry for free

CSC ServiceWorks provides laundry machines to thousands of residential homes and universities, but the company ignored requests to fix a security bug.

10 hours ago
Two Santa Cruz students uncover security bug that could let millions do their laundry for free

OpenAI’s Superalignment team, responsible for developing ways to govern and steer “superintelligent” AI systems, was promised 20% of the company’s compute resources, according to a person from that team. But…

OpenAI created a team to control ‘superintelligent’ AI — then let it wither, source says

TechCrunch Disrupt 2024 is just around the corner, and the buzz is palpable. But what if we told you there’s a chance for you to not just attend, but also…

Harness the TechCrunch Effect: Host a Side Event at Disrupt 2024

Decks are all about telling a compelling story and Goodcarbon does a good job on that front. But there’s important information missing too.

Pitch Deck Teardown: Goodcarbon’s $5.5M seed deck

Slack is making it difficult for its customers if they want the company to stop using its data for model training.

Slack under attack over sneaky AI training policy

A Texas-based company that provides health insurance and benefit plans disclosed a data breach affecting almost 2.5 million people, some of whom had their Social Security number stolen. WebTPA said…

Healthcare company WebTPA discloses breach affecting 2.5 million people

Featured Article

Microsoft dodges UK antitrust scrutiny over its Mistral AI stake

Microsoft won’t be facing antitrust scrutiny in the U.K. over its recent investment into French AI startup Mistral AI.

12 hours ago
Microsoft dodges UK antitrust scrutiny over its Mistral AI stake

Ember has partnered with HSBC in the U.K. so that the bank’s business customers can access Ember’s services from their online accounts.

Embedded finance is still trendy as accounting automation startup Ember partners with HSBC UK

Kudos uses AI to figure out consumer spending habits so it can then provide more personalized financial advice, like maximizing rewards and utilizing credit effectively.

Kudos lands $10M for an AI smart wallet that picks the best credit card for purchases

The EU’s warning comes after Microsoft failed to respond to a legally binding request for information that focused on its generative AI tools.

EU warns Microsoft it could be fined billions over missing GenAI risk info

The prospects for troubled banking-as-a-service startup Synapse have gone from bad to worse this week after a United States Trustee filed an emergency motion on Wednesday.  The trustee is asking…

A US Trustee wants troubled fintech Synapse to be liquidated via Chapter 7 bankruptcy, cites ‘gross mismanagement’

U.K.-based Seraphim Space is spinning up its 13th accelerator program, with nine participating companies working on a range of tech from propulsion to in-space manufacturing and space situational awareness. The…

Seraphim’s latest space accelerator welcomes nine companies

OpenAI has reached a deal with Reddit to use the social news site’s data for training AI models. In a blog post on OpenAI’s press relations site, the company said…

OpenAI inks deal to train AI on Reddit data

X users will now be able to discover posts from new Communities that are trending directly from an Explore tab within the section.

X pushes more users to Communities

For Mark Zuckerberg’s 40th birthday, his wife got him a photoshoot. Zuckerberg gives the camera a sly smile as he sits amid a carefully crafted re-creation of his childhood bedroom.…

Mark Zuckerberg’s makeover: Midlife crisis or carefully crafted rebrand?

Strava announced a slew of features, including AI to weed out leaderboard cheats, a new ‘family’ subscription plan, dark mode and more.

Strava taps AI to weed out leaderboard cheats, unveils ‘family’ plan, dark mode and more

We all fall down sometimes. Astronauts are no exception. You need to be in peak physical condition for space travel, but bulky space suits and lower gravity levels can be…

Astronauts fall over. Robotic limbs can help them back up.

Microsoft will launch its custom Cobalt 100 chips to customers as a public preview at its Build conference next week, TechCrunch has learned. In an analyst briefing ahead of Build,…

Microsoft’s custom Cobalt chips will come to Azure next week

What a wild week for transportation news! It was a smorgasbord of news that seemed to touch every sector and theme in transportation.

Tesla keeps cutting jobs and the feds probe Waymo

Sony Music Group has sent letters to more than 700 tech companies and music streaming services to warn them not to use its music to train AI without explicit permission.…

Sony Music warns tech companies over ‘unauthorized’ use of its content to train AI

Winston Chi, Butter’s founder and CEO, told TechCrunch that “most parties, including our investors and us, are making money” from the exit.

GrubMarket buys Butter to give its food distribution tech an AI boost

The investor lawsuit is related to Bolt securing a $30 million personal loan to Ryan Breslow, which was later defaulted on.

Bolt founder Ryan Breslow wants to settle an investor lawsuit by returning $37 million worth of shares

Meta, the parent company of Facebook, launched an enterprise version of the prominent social network in 2015. It always seemed like a stretch for a company built on a consumer…

With the end of Workplace, it’s fair to wonder if Meta was ever serious about the enterprise

X, formerly Twitter, turned TweetDeck into X Pro and pushed it behind a paywall. But there is a new column-based social media tool in town, and it’s from Instagram Threads.…

Meta Threads is testing pinned columns on the web, similar to the old TweetDeck

As part of 2024’s Accessibility Awareness Day, Google is showing off some updates to Android that should be useful to folks with mobility or vision impairments. Project Gameface allows gamers…

Google expands hands-free and eyes-free interfaces on Android