
The Federal Trade Commission (FTC) is intensifying its scrutiny of artificial intelligence (AI) practices, particularly in the realm of social media and marketing. A recent FTC staff report has highlighted privacy risks associated with AI practices by social media companies. In addition, new rules targeting fake reviews, approved in August, will come into effect in late October. These rules aim to address misleading marketing and tainted testimonials generated by both humans and AI models. The FTC has also taken action against five companies this week for deceptive AI-related marketing claims and brought a case against an AI-generated reviews company, despite strenuous dissent. The agency's efforts signal differing approaches among commissioners as they grapple with the regulatory challenges posed by AI.
