FTC Commissioner Demands Transparency on Snap AI Chatbot Complaint
Federal Trade Commission (FTC) Commissioner Rebecca Slaughter on Friday publicly questioned the status of a confidential complaint concerning Snap’s AI chatbot, My AI, which the FTC referred to the Department of Justice (DOJ) earlier this year. The complaint alleges potential risks and harms posed by the chatbot, particularly to young users.
In January, the FTC announced the referral of this non-public complaint to the DOJ, citing the public interest. However, Slaughter told CNBC’s The Exchange, “We don’t know what has happened to that complaint. The public does not know what has happened to that complaint, and that’s the kind of thing that I think people deserve answers on.” This statement underscores ongoing concerns about transparency in regulatory oversight of AI technologies.
Background on Snap’s My AI Chatbot
Launched in 2023, Snap’s My AI chatbot is powered by large language models developed by OpenAI and Google. It has attracted scrutiny due to instances of problematic or inappropriate responses, raising alarms about its interaction with younger users. Despite these concerns, Snap declined to comment on the status of the complaint when approached for this report.
Regulatory and Political Context
The DOJ has not responded to requests for comment regarding the complaint’s progress. Meanwhile, political tensions surround the FTC’s enforcement actions. President Donald Trump, who has sought to remove Slaughter from her FTC position, recently faced a U.S. appeals court decision allowing her to remain. On Thursday, Trump escalated the effort by petitioning the Supreme Court to permit her removal.
Slaughter’s remarks followed a White House dinner hosted by Trump that included prominent tech leaders such as Google CEO Sundar Pichai, Meta CEO Mark Zuckerberg, and Apple CEO Tim Cook. Slaughter highlighted the contrast between the administration’s engagement with major tech executives and the unresolved concerns about AI chatbot safety, particularly regarding vulnerable users.
Notably, FTC Chair Andrew Ferguson, appointed by Trump and who succeeded Lina Khan, publicly opposed the complaint against Snap at the time of its referral. Ferguson indicated he would issue a detailed statement if the DOJ pursued formal legal action, framing the complaint as an “affront to the Constitution and the rule of law.” This divergence within the FTC leadership reflects broader debates over regulatory approaches to AI.
Looking Ahead
The status of the complaint against Snap remains unclear, and the public has yet to receive updates on any DOJ investigation or enforcement action. As AI technologies increasingly integrate into consumer products, the regulatory landscape will be closely watched for developments addressing safety, transparency, and accountability.
FinOracleAI — Market View
The renewed attention on Snap’s AI chatbot complaint and ongoing regulatory scrutiny underscore potential risks for Snap’s reputation and user trust. The lack of transparency about the complaint’s status may fuel investor uncertainty. However, the absence of immediate DOJ action suggests limited short-term legal risk.
Investors should monitor developments regarding the FTC’s enforcement stance and any DOJ decisions that could affect Snap’s AI initiatives. Broader regulatory pressures on AI platforms also represent a risk factor for tech companies deploying similar technologies.
Impact: neutral
