Italy's Privacy Watchdog Garante Fines OpenAI Over Personal Data Usage

Italy's Privacy Watchdog Garante Fines OpenAI Over Personal Data Usage

Italy's privacy watchdog Garante has fined ChatGPT maker OpenAI 15 million euros ($15.58 million) for investigating the generative artificial intelligence (AI) application into the use of personal data. The authority is one of the European Union's (EU’s) most proactive regulators in assessing Al platform compliance with the bloc's data privacy regime.

The Garante said OpenAI processed users' data "to train ChatGPT without having an adequate legal basis and violated the principle of transparency and the related information obligations towards users."

Microsoft-backed OpenAI had previously stated that its practices were aligned with the European Union's privacy laws. Last year, the Italian watchdog briefly banned the use of ChatGPT in Italy for alleged breaches of EU’s privacy rules.

Italy’s Garante Fines OpenAI €15M Over ChatGPT Privacy Violations

However, the service was reactivated after OpenAI addressed issues, including the right of users to refuse consent for the use of personal data to train algorithms. OpenAI intends to appeal against Garante’s decision.