Italy Charges OpenAI USD15.6M due to usage of private data
Date
12/24/2024 4:19:30 AM
(MENAFN) Italy's information security authority on Friday stated it had charged OpenAI 15 million euros (USD15.6 million) due to the consumption of private information by ChatGPT, but the US tech company noted it might appeal.
The Italian Data Protection Authority (GPDP) watchdog started an examination in March the previous year when it momentarily banned ChatGPT in Italy due to privacy claims, becoming the initial Western nation to seize charge against the famous AI chatbot.
Declaring the decision of its ban on Friday, the GPDP noted it had "imposed a fine of 15 million euros (USD15.6 million) on OpenAI, which was further calculated taking into account the company's cooperative attitude".
It noted that OpenAI "did not notify the authority of the data breach it underwent in March 2023, it has processed users' personal data to train ChatGPT without first identifying an appropriate legal basis and has violated the principle of transparency and the related information obligations toward users".
Moreover, OpenAI "has not provided for mechanisms for age verification, which could lead to the risk of exposing children under 13 to inappropriate responses", it also noted.
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