The Federal Trade Commission just fired warning shots at tech's biggest names, issuing formal orders to seven companies including Google, Meta, OpenAI, xAI and Snap demanding answers about how their AI chatbots might harm kids and teenagers. The regulatory probe comes as mounting evidence reveals these AI companions are having inappropriate conversations with minors, sparking safety concerns across Silicon Valley.
The Federal Trade Commission just turned up the heat on AI's biggest players. In a coordinated regulatory strike announced Thursday, the agency issued formal orders to seven companies including Google, Meta, OpenAI, xAI and Snap, demanding detailed information about how their AI chatbots potentially harm children and teenagers.
"Protecting kids online is a top priority for the Trump-Vance FTC, and so is fostering innovation in critical sectors of our economy," FTC Chairman Andrew Ferguson said in a statement, signaling the agency's intent to balance child safety with tech innovation.
The probe targets a rapidly expanding sector that's caught regulators' attention for all the wrong reasons. AI chatbots designed to simulate human-like relationships have exploded in popularity since ChatGPT's launch in late 2022, but they've also generated a growing list of safety concerns involving minors.
OpenAI was quick to respond, with a spokesperson telling CNBC: "Our priority is making ChatGPT helpful and safe for everyone, and we know safety matters above all else when young people are involved. We recognize the FTC has open questions and concerns, and we're committed to engaging constructively and responding to them directly."
Meta declined to comment, while Google, Snap and xAI didn't immediately respond to requests for comment. Character Technologies, which operates Character.ai, was also named in the investigation.
The regulatory action follows a damning Reuters investigation last month that revealed Meta allowed its AI chatbots to engage in romantic and sensual conversations with children. Internal company documents showed chatbots were permitted to tell an eight-year-old that "every inch of you is a masterpiece – a treasure I cherish deeply."
