FTC Refers Snapchat Complaint to DOJ Over My AI Chatbot Concerns.
On January 16, 2025, the Federal Trade Commission (FTC) made a rare move by publicly referring a complaint against Snapchat’s owner, Snap Inc., to the Department of Justice (DOJ). The complaint centers around the company’s deployment of an artificial intelligence-powered chatbot, My AI, within the Snapchat application and the alleged risks and harms it poses to young users.
The FTC’s investigation began as part of a compliance review following a 2014 settlement with Snap Inc., which involved allegations of deceiving users about the disappearance of messages. During the review, the FTC uncovered potential violations of the FTC Act, prompting the referral to the DOJ. The FTC stated that making the referral public was in the public interest, despite typically keeping such actions confidential until charges are filed.
Snap Inc. has responded to the complaint, stating that it is based on inaccuracies and lacks concrete evidence. The company emphasized that its safety and privacy processes are rigorous and transparent. Snap’s CEO, Evan Spiegel, also expressed concerns that the complaint could stifle innovation and competition in the growing AI sector.
The My AI chatbot, launched in 2023, uses OpenAI technology to allow Snapchat users to chat and ask questions within the app. However, it has drawn scrutiny for providing problematic responses, including advice on hiding the smell of alcohol and marijuana to a reporter posing as a teenager. Snap has acknowledged that the chatbot is prone to errors and can be tricked into saying almost anything.
The FTC’s decision to refer the complaint to the DOJ has been met with mixed reactions. Commissioner Andrew Ferguson, who was appointed by President-elect Donald Trump, opposed the move and did not participate in the closed meeting where the decision was made. Ferguson criticized the complaint as lacking a solid legal basis and raising First Amendment concerns.
The referral to the DOJ marks a significant development in the ongoing scrutiny of AI technologies and their impact on user safety, particularly for young people. As the case progresses, it will be closely watched by industry stakeholders and consumer protection advocates alike.
