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OpenAI OpCo LLC – €15,000,000 Fine (Italy, 2024)

€15,000,000Garante per la protezione dei dati personali2 November 2024Italy
final
Fine

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OpenAI was fined EUR 15 million by Italy's data protection authority for multiple GDPR violations related to its ChatGPT service. This ruling is significant as it underscores the need for companies to handle user data responsibly.

What happened

The Italian data protection authority fined OpenAI for failing to notify about a data breach and for using personal data without a valid legal basis.

Who was affected

Users of OpenAI's ChatGPT service were affected by the company's mishandling of personal data.

What the authority found

The authority found that OpenAI violated several GDPR provisions, including transparency and age verification requirements.

Why this matters

This case serves as a warning to tech companies about the importance of compliance with data protection laws and the potential financial consequences of violations.

Recorded legal citations
Automatically processed
Art. 6 GDPR
Art. 12 GDPR
Art. 13 GDPR
Art. 24 GDPR
Art. 25 GDPR
Art. 32 GDPR
Art. 5(1)(a) GDPR
Art. 5(2) GDPR
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Art. 5(1)(a) GDPR
Art. 5(2) GDPR
Art. 6 GDPR
Art. 12 GDPR
Art. 13 GDPR
Art. 24 GDPR
Art. 25 GDPR
Art. 32 GDPR

Original imported citations before automated processing; the processing history does not establish independent verification.

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Full Legal Summary
Detailed

The Italian DPA has imposed a fine of EUR 15 million on OpenAI in connection with the operation of the generative AI chatbot “ChatGPT”. The DPA found that OpenAI had violated provisions of the GDPR, inter alia, by failing to notify the DPA of a data breach that occurred in 2023, by using users' personal data to train ChatGPT without providing a valid legal basis for such processing, and by violating the principle of transparency. Additionally, OpenAI did not implement age verification, potentially risking exposure of children under 13 to inappropriate content. Furthermore the DPA ordered OpenAI to carry out a six-month public information campaign to educate users on how ChatGPT processes data and how they can exercise their GDPR rights.

Related Enforcement Actions (0)

No other enforcement actions found for OpenAI OpCo LLC in IT

This is the only recorded action for this entity in this jurisdiction.

Details

Fine Date

2 November 2024

Authority

Garante per la protezione dei dati personali

Fine Amount

€15,000,000

Enforcement Tracker ID

ETid-2497

About this data

Data: CMS GDPR Enforcement Tracker
Licensed under CC BY-NC-SA 4.0
Automatically normalized and classified

Cite as: Cookie Fines. OpenAI OpCo LLC - Italy (2024). Retrieved from cookiefines.eu

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