Credit: meeboonstudio/Adobe Stock FTC Goes After AI Tool That Has Capability to Mass Produce Fake Reviews
"Treating as categorically illegal a generative AI tool merely because of the possibility that someone might use it for fraud is inconsistent with our precedents and common sense," GOP Commissioner Andrew Ferguson said in his dissent.
October 03, 2024 at 10:04 AM
6 minute read
Weeks before its new rule banning fake reviews and testimonials takes effect, the Federal Trade Commission has proposed a settlement with a generative artificial intelligence company that would forbid it from marketing a version used to create product and service reviews.
Despite not offering any evidence that Rytr LLC's AI product generated false or deceptive consumer reviews that were published, the FTC complaint alleged the Delaware-based company provided subscribers the means to do so and thus violated the Federal Trade Commission Act.
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