The Federal Trade Commission announced on September 11 that it is issuing orders to seven companies that provide consumer-facing AI-powered chatbots. The Commission is seeking information on how these companies measure, test and monitor potentially negative impacts of this technology on children and teens.

As part of its inquiry, the FTC is seeking information about how the companies:

• Monetize user engagement
• Process user inputs and generate outputs in response to user inquiries
• Develop and approve characters
• Measure, test and monitor for negative impacts before and after deployment
• Mitigate negative impacts, particularly on children
• Employ disclosures, advertising and other representations to inform users and parents about features, capabilities, the intended audience, potential negative impacts and data collection and handling practices
• Monitor and enforce compliance with Company rules and terms of services (e.g., community guidelines and age restrictions)
• Use or share personal information obtained through users’ conversations with the chatbots