OpenAI faces multi-state probe as attorneys general investigate ChatGPT safety, data handling, and user harm claims

Days after disclosing that it had confidentially filed to go public, OpenAI is facing a new source of scrutiny: State attorneys general are examining how the company handles users, data, and harms related to its large-language model, ChatGPT.

What happened?

According to The Wall Street Journal, New York's attorney general subpoenaed OpenAI on Friday as part of an investigation by a coalition of state attorneys general. The reported records request covers the company's advertising, its efforts to keep users engaged, model sycophancy, consumer and health data, and its treatment of minors and seniors.

The Journal said OpenAI has not identified which states are involved or spelled out exactly which records were sought. The probe comes as the company tries to move past a courtroom victory over co-founder Elon Musk while still fighting other cases, including copyright lawsuits and claims tied to ChatGPT's alleged role in user suicides.

Why does it matter?

ChatGPT has become a mainstream tool for work, school, and personal questions. If regulators examine how OpenAI markets the product, keeps users engaged, and handles sensitive information, the outcome could shape future guardrails for millions of people, especially minors and older adults who may be more vulnerable to manipulation or misinformation.

There is also a broader infrastructure issue behind the AI boom. AI systems can help society in meaningful ways, including improving medical research and optimizing clean energy systems and electric grids. But training and operating these tools also require enormous data centers that consume large amounts of electricity and water.

As AI adoption expands, demand can strain the power grid, raise operating costs, and contribute to higher energy bills, even as the technology promises efficiency gains.

The new subpoena fits into wider concerns about safety and accountability. Earlier this month, TechCrunch reported, Florida Attorney General James Uthmeier sued OpenAI and its CEO, Sam Altman, alleging they "ignored internal and external safety warnings, put children at great risk, and allowed a dangerous product to reach millions of Floridians."

What are people saying?

In its response, OpenAI said it is taking the matter seriously. In a statement, a spokesperson said, "AI is a new and powerful technology, and we work every day to safely bring its benefits to people in a responsible way."

OpenAI also pointed to protections for younger users, saying, "Today's ChatGPT includes a more protective experience for minors and people experiencing difficult situations, with safeguards that direct them to real-world resources and trusted human contacts."

Uthmeier's accusation that OpenAI "ignored internal and external safety warnings" reflects how legal and political scrutiny of AI is moving beyond abstract fears toward concrete claims of real-world harm.

Get TCD's free newsletters for easy tips, smart advice, and a chance to earn $5,000 toward home upgrades. To see more stories like this one, change your Google preferences here.