OpenAI, the company behind ChatGPT, has stated its intention to “engage constructively” with state attorneys general after a coalition launched a formal investigation into the artificial intelligence firm. This marks the latest in a series of legal challenges mounting as the company gears up for a high-profile public listing.
According to a report by CNBC, an OpenAI spokesperson confirmed receipt of the inquiry and said the company would take the concerns “seriously.” “AI is a new and powerful technology, and we work every day to safely bring its benefits to people in a responsible way,” the spokesperson stated. The response followed a Wall Street Journal report that OpenAI had been served a subpoena seeking information on advertising, consumer and health data, handling of minors and seniors, and its AI models.
OpenAI Under Scrutiny at a Critical Moment
The timing of the investigation is pivotal, as OpenAI announced earlier this week that it had confidentially filed its prospectus with the Securities and Exchange Commission—a step that typically precedes a public listing by months. The company’s IPO, potentially arriving as soon as this year, is expected to be one of the most closely watched market events of the decade.
Earlier this year, OpenAI reached a private valuation of $850 billion, making it one of the most valuable companies globally.
The multi-state investigation adds to a growing list of legal challenges. Earlier this month, Florida Attorney General James Uthmeier filed a lawsuit alleging OpenAI knowingly released an unsafe product in ChatGPT. At a press conference, Uthmeier predicted other state attorneys general would follow with similar actions.
What Is OpenAI Accused Of?
OpenAI has also been sued by seven families of victims of the Tumbler Ridge mass shooting in Canada, which occurred in February. The families allege the attacker used ChatGPT to plan the attack and that OpenAI failed to take preventive steps.
Separately, OpenAI faces multiple wrongful death lawsuits claiming that interactions with ChatGPT contributed to harmful delusions and, in some cases, led to suicide.
In response to mounting scrutiny over user safety, the OpenAI spokesperson highlighted changes made to ChatGPT’s behavior. “Today's ChatGPT includes a more protective experience for minors and people experiencing difficult situations, with safeguards that direct them to real-world resources and trusted human contacts,” the spokesperson said.
