Alphabet, Meta, OpenAI, xAI and Snap face FTC probe over AI chatbot safety for kids

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Alphabet, Meta, OpenAI, xAI and Snap face FTC probe over AI chatbot safety for kids
PUBLISHED THU, SEP 11 202511:26 AM EDTUPDATED THU, SEP 11 20253:58 PM EDT

Ashley Capoot

The FTC said it’s issuing orders to seven companies, including OpenAI, Alphabet and Meta, to understand how their AI chatbots have potentially negative effects.

The agency said AI chatbots may be used to simulate human-like communication and intrapersonal relationships with users.

Since the launch of ChatGPT in late 2022, a new era of chatbots have proliferated, creating a host of ethical and privacy concerns.

The Federal Trade Commission on Thursday announced it is issuing orders to seven companies including OpenAI, Alphabet
, Meta
, xAI and Snap
to understand how their artificial intelligence chatbots potentially negatively affect children and teenagers.

The federal agency said AI chatbots may be used to simulate human-like communication and intrapersonal relationships with users, and that it wants to understand what steps these companies have taken to “evaluate the safety of these chatbots when acting as companions,” according to a release.

“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.

The FTC said it is seeking information about how these companies monetize user engagement, develop and approve characters, use or share personal information, monitor and enforce compliance with company rules and terms of service and mitigate negative impacts, among other subjects.

“Our priority is making ChatGPT helpful and safe for everyone, and we know safety matters above all else when young people are involved,” an OpenAI spokesperson told CNBC in a statement. “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 on the inquiry. Alphabet and xAI did not immediately respond to CNBC’s request for comment.

“We share the FTC’s focus on ensuring the thoughtful development of generative AI, and look forward to working with the Commission on AI policy that bolsters US innovation while protecting our community,” a Snap spokesperson said in a statement.

Character Technologies, which operates the Character.AI bot, and Instagram, which is owned by Meta, were also named in the release.

“We look forward to collaborating with the FTC on this inquiry and providing insight on the consumer AI industry and the space’s rapidly evolving technology,” a Character.AI spokesperson said in a statement.

https://www.cnbc.com/2025/09/11/alphabe ... t-ftc.html