Federal agencies commit to fighting AI-powered discrimination and fraud
Christopher Hutton
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A quartet of federal regulatory agencies has pledged to ensure market fairness by regulating and reining in artificial intelligence.
The Federal Trade Commission, the Civil Rights Division of the Department of Justice, the Consumer Financial Protection Bureau, and the Equal Employment Opportunity Commission released a joint statement on Tuesday pledging to ensure consumer safety while also managing the growing number of automated systems used for hiring, sales, and other forms of business. While AI presents many new legal questions, the agencies concluded they have the legal tools necessary to do the job.
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“We already see how AI tools can turbocharge fraud and automate discrimination, and we won’t hesitate to use the full scope of our legal authorities to protect Americans from these threats,” FTC Chairwoman Lina Khan said in a statement. “Technological advances can deliver critical innovation—but claims of innovation must not be cover for lawbreaking. There is no AI exemption to the laws on the books, and the FTC will vigorously enforce the law to combat unfair or deceptive practices or unfair methods of competition.”
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The agencies said automated systems could contribute to “unlawful discrimination” because they could be trained on skewed datasets, lack algorithmic transparency, or feature designs with flawed assumptions.
U.S. lawmakers and regulators are moving to establish guidelines for the use of AI. Senate Majority Leader Chuck Schumer (D-NY) is building a framework in partnership with AI experts that he expects to file as legislation soon.