On September 11, 2025, the Federal Trade Commission (FTC) announced that it had launched an inquiry under its Section 6(b) authority, which allows the commission to request answers in writing from companies on conduct, practices, management, etc, into consumer-facing AI-powered chatbots acting as companions, with special concern for their effects on children and teenagers.
Through 6(b) orders, the FTC has requested detailed information from seven major companies: Alphabet, Inc.; Character Technologies, Inc.; Instagram, LLC; Meta Platforms, Inc.; OpenAI OpCo, LLC; Snap, Inc.; and X.AI Corp.
Furthermore, the inquiry comes in the backdrop of a lawsuit filed against OpenAI after a teenager’s suicide allegedly linked to interactions with its chatbot and reports that Meta recently allowed chatbots to have explicit conversations with minors. However, the inquiry does not itself represent an enforcement action but rather aims to collect data and assess current practices.
What the FTC Has Asked For
The FTC has issued Section 6(b) orders to seven companies developing consumer-facing AI chatbots, seeking extensive information on their practices.
The agency has asked how these firms monetise user engagement, process user inputs and generate outputs, and how they develop and approve characters for companion bots. It has also requested details on how companies measure, test, and monitor negative impacts before and after deployment and how they mitigate risks, particularly for children.
Furthermore, the FTC wants to know how firms employ disclosures, advertising, and other representations to inform users and parents about features, capabilities, the intended audience, potential harms, and data collection practices. The inquiry also examines how companies monitor and enforce compliance with rules and age restrictions, as well as whether they use or share personal information collected during conversations.
Consequently, the FTC stated that this information is critical because AI chatbots may simulate friendship and emotional connection, raising risks for minors and implicating protections under the Children’s Online Privacy Protection Act (COPPA).
Why the FTC Launched The Inquiry
“I have been concerned by reports that AI chatbots can engage in alarming interactions with young users,” FTC Commissioner Melissa Holyoak stated, noting that “companies offering generative AI companion chatbots might have been warned by their own employees that they were deploying the chatbots without doing enough to protect young users.”
Specifically, she explained that the Commission seeks to study “children’s and teens’ use of AI companion chatbots and the potential impacts on their social relationships, mental health, and well-being”.
Commissioner Mark Meador highlighted further risks in a statement, pointing to cases where chatbots allegedly “amplified suicidal ideation” and, in one tragic instance,…
Source link
Disclaimer
We strive to uphold the highest ethical standards in all of our reporting and coverage. We blogs.grocliq.com want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.
Website Upgradation is going on for any glitch kindly connect at [email protected]
