In a unanimous decision, the Federal Trade Commission (FTC) has greenlit an omnibus resolution, paving the way for the utilization of compulsory processes in discreet investigations surrounding products and services claiming to utilize or be crafted through artificial intelligence (AI), or asserting the ability to identify its usage.

The approved omnibus resolution seeks to streamline the issuance of civil investigative demands (CIDs) by FTC staff, functioning akin to subpoenas, specifically in AI-related investigations. These CIDs are instrumental in procuring essential documents, information, and testimonies vital for advancing consumer protection and competition inquiries. The resolution will remain in force for a decade.

Artificial intelligence encompasses a broad spectrum, ranging from machine-based systems making predictions or decisions to generative AI crafting synthetic content, including images, videos, audio, and text. Numerous companies currently market products and services utilizing AI and generative AI, while others claim to possess the capability to identify content generated by such systems.

While acknowledging the manifold benefits of AI, the FTC emphasizes the potential for its misuse, including fraudulent activities, privacy infringements, and other unfair practices, which could contravene the FTC Act and other regulatory statutes. Additionally, concerns about competition arise, particularly if a limited number of companies wield control over crucial inputs or technologies fundamental to AI.

The unanimous 3-0 vote by the Commission solidifies the omnibus resolution's authorization of compulsory processes in AI-related investigations. Nadine Samter and Ben Halpern-Meekin from the FTC’s Northwest Region office spearhead the regulatory efforts in this domain.

The FTC, dedicated to fostering competition and safeguarding consumers, encourages individuals to explore consumer-related topics, report scams, fraud, and unethical business practices through ReportFraud.ftc.gov. Stay informed about the latest FTC updates by following them on social media, reading their blogs, and subscribing to press releases.