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The Federal Trade Commission is taking action against DoNotPay, alleging that the AI-powered company billing itself as "the world's first robot lawyer" failed to back its claims that it could replace human legal representation. The agency's complaint argues that DoNotPay did not conduct tests to assess whether its AI chatbot was equivalent to a human lawyer, and that the company did not hire or retain any attorneys of its own. DoNotPay has agreed to a proposed settlement that would see it face fines of $193,000. In addition, the settlement will require DoNotPay to inform customers who subscribed to its service between 2021 and 2023 about the limitations of its offerings. This proposed settlement is part of an FTC program called Operation AI Comply, which is targeting businesses that leverage artificial intelligence to make deceptive claims. "Using AI tools to trick, mislead, or defraud people is illegal," FTC Chair Lina M. Khan said. "The FTCs enforcement actions make clear that there is no AI exemption from the laws on the books. By cracking down on unfair or deceptive practices in these markets, FTC is ensuring that honest businesses and innovators can get a fair shot and consumers are being protected." In addition to promising legal services, DoNotPay also claimed it could get accounts unbanned from social media platforms. The company postponed its first attempt to use its AI chatbot in a court setting in 2023 after multiple state bar associations intervened in the case.This article originally appeared on Engadget at https://www.engadget.com/ai/donotpay-robot-lawyer-fined-193k-by-the-ftc-for-not-being-a-lawyer-223227153.html?src=rss
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A major shakeup is in the works at OpenAI. Reuters reported that the artificial intelligence research company is restructuring its business from a non-profit board into a for-profit corporation. The publication also says Sam Altman would be given equity in the new corporation. OpenAIs move to for-profit wouldnt eliminate its non-profit entity entirely. The non-profit would own a stake in the new for-profit venture but it wont have nearly the power as it did. An OpenAI spokesperson gave a statement thats identical to the one they gave to Fortunes initial report about the restructuring. Couldnt they at least have used OpenAIs software to word a different statement? "We remain focused on building AI that benefits everyone, and were working with our board to ensure that were best positioned to succeed in our mission. The non-profit is core to our mission and will continue to exist. The move to for-profit would also provide a big payday for chief executive officer Sam Altman. Reuters says he would receive equity in the company once the restructuring is complete. The for-profit companys worth could go as high as $150 billion, according to some estimates. The for-profit model would also remove the cap on investors returns. Altman has reportedly been trying to move OpenAI to a more traditional for-profit company for some time. Its not known exactly when the switch will happen since details of the deal are still going through all of the legal motions.This article originally appeared on Engadget at https://www.engadget.com/ai/new-report-details-openais-plan-to-switch-to-for-profit-mode-214354224.html?src=rss
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In Venezuela, Operación Retuit is using AI-generated news anchors to share verified reports about the country's political situation following the July 28th presidential election. The project emerged as a response to increasing censorship and persecution of journalists reporting on electoral events. Two AI avatars, La Chama ('the girl') and El Pana ('the guy'), serve as the public faces of Operación Retuit and broadcast verified information from a dozen Venezuelan and international media outlets.
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