Italy Fines OpenAI for ChatGPT Privacy Violations

Italy's data protection authority fined OpenAI 15 million euros for violating privacy laws with ChatGPT. The watchdog found the company processed personal data without legal basis and failed to ensure adequate age verification. OpenAI plans to appeal the decision, calling it "disproportionate."

Italy's data protection watchdog, known as Garante, has imposed a substantial fine of 15 million euros on OpenAI. This decision follows a probe into the company's handling of personal data through its renowned chatbot, ChatGPT.

The investigation revealed that OpenAI processed users' personal data without a solid legal foundation and failed to meet transparency obligations towards its users. OpenAI has expressed its intention to appeal the penalty, describing it as "disproportionate."

The Garante's findings also highlighted OpenAI's lack of an adequate age verification system, exposing minors to potentially inappropriate AI-generated content. As part of the enforcement, the authority ordered OpenAI to engage in a six-month public awareness campaign in Italy on data collection practices.