FTC chair Lina Khan warns AI may ‘turbocharge’ fraud and scams


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Synthetic intelligence instruments akin to ChatGPT may result in a “turbocharging” of client harms together with fraud and scams, and the US authorities has substantial authority to crack down on AI-driven client harms underneath present regulation, members of the Federal Commerce Fee mentioned Tuesday.

Addressing Home lawmakers, FTC chair Lina Khan mentioned the “turbocharging of fraud and scams that could possibly be enabled by these instruments are a critical concern.”

In current months, a brand new crop of AI instruments have gained consideration for his or her skill to generate convincing emails, tales and essays in addition to photographs, audio and movies. Whereas these instruments have potential to alter the best way folks work and create, some have additionally raised issues about how they could possibly be use to deceive by impersonating people.

At the same time as policymakers throughout the federal authorities debate the right way to promote particular AI guidelines, citing issues about attainable algorithmic discrimination and privateness points, firms may nonetheless face FTC investigations in the present day underneath a variety of statutes which were on the books for years, Khan and her fellow commissioners mentioned.

“All through the FTC’s historical past we’ve got needed to adapt our enforcement to altering expertise,” mentioned FTC Commissioners Rebecca Slaughter. “Our obligation is to do what we’ve at all times performed, which is to use the instruments we’ve got to those altering applied sciences … [and] not be scared off by this concept that this can be a new, revolutionary expertise.”

FTC Commissioner Alvaro Bedoya mentioned firms can’t escape legal responsibility just by claiming that their algorithms are a black field.

“Our workers has been constantly saying our unfair and misleading practices authority applies, our civil rights legal guidelines, honest credit score, Equal Credit score Alternative Act, these apply,” mentioned Bedoya. “There may be regulation, and corporations might want to abide by it.”

The FTC has beforehand issued in depth public steering to AI firms, and the company final month received a request to analyze OpenAI over claims that the corporate behind ChatGPT has misled customers concerning the device’s capabilities and limitations.


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