UPDATE 1-Italy watchdog says OpenAI's ChatGPT breaches privacy rules
Reuters · 01/29 10:58
UPDATE 1-Italy watchdog says OpenAI's ChatGPT breaches privacy rules

Adds more comments from Garantie in paragraphs 3-4, background in paragraphs 6-8

- Italy's data protection authority said on Monday it told OpenAI that its artificial intelligence chatbot application ChatGPT breaches data protection rules.

The Italian watchdog, known as Garante - one of the European Union's most proactive in assessing AI platform compliance with the bloc's data privacy regime - last year briefly banned ChatGPT over the alleged breach of EU privacy rules.

At the time, the regulator also launched a probe, which has concluded that there are elements indicating one or more potential data privacy violations, it said in a statement.

The Garante said Microsoft MSFT.O-backed OpenAI had 30 days to present defence arguments, and added that its investigation would take into account the work done by a European task force made up of privacy watchdogs.

Reuters contacted OpenAI for comment.

Italy was the first West European country to curb ChatGPT, whose rapid development has attracted attention from lawmakers and regulators.

Under the EU's General Data Protection Regulation (GDPR), introduced in 2018, any given company found in breach of the rules faces fines of up to 4% of the company's global turnover.

In December, EU lawmakers and governments agreed provisional terms for regulating AI systems like ChatGPT, taking a step closer to setting rules governing the technology.

(Reporting by Elvira Pollina, editing by Alvise Armellini and Emelia Sithole-Matarise)