The ICO inquiry has preliminarily determined that the owner of the social media app did not adequately evaluate risks to My AI service users
Snapchat potentially faces substantial fines in the UK as the data watchdog has issued a preliminary enforcement notice. This action stems from allegations of the company’s failure to assess the privacy risks associated with its artificial intelligence chatbot, particularly concerning users, including children.
The Information Commissioner’s Office (ICO) has indicated that it has tentatively discovered the social media app’s owner’s shortcomings in adequately identifying and evaluating risks related to My AI, impacting several million UK users, including those aged 13 to 17.
Snapchat boasts 21 million monthly active users in the UK, with a significant proportion belonging to younger demographics. Insider Intelligence, a market research firm, estimates that 48% of users are aged 24 or below, and approximately 18% fall within the 12 to 17 age group.
John Edwards, the information commissioner, expressed concern regarding the preliminary results of our investigation, which indicate a significant failure on the part of Snap, the parent company of Snapchat. This failure pertains to their inadequate identification and evaluation of privacy risks, particularly concerning children and other users, prior to the launch of My AI.
The ICO emphasized that these investigation findings are provisional, and Snap has until October 27 to provide their input before a final decision is made regarding potential actions.
The ICO also clarified that at this stage, no definite conclusion should be drawn regarding a breach of data protection laws or the issuance of an enforcement notice. If a final enforcement notice is indeed issued, Snap will be compelled to cease data processing related to My AI. This would necessitate the suspension of the service for UK customers until the company conducts a thorough and satisfactory risk assessment.
While the ICO’s primary objective is to prevent potential privacy breaches and ensure compliance with My AI, it possesses the authority to impose a fine of up to 4% of global turnover. To put this into perspective, Snap generated $4.6 billion in global revenues last year, which translates to a maximum fine of £17.5 million.
The My AI service relies on OpenAI’s GPT technology, which has been a prominent contender in the global artificial intelligence competition. Its launch marked a significant milestone as it was the first instance of generative AI being integrated into a major messaging platform in the UK.
John Edwards emphasized the importance of organizations taking into account both the advantages and risks associated with AI. He stated, “Today’s preliminary enforcement notice demonstrates our commitment to taking action to safeguard the privacy rights of UK consumers.”
Snap introduced the My AI feature initially for Snapchat+ users, the subscription service of the social media platform, back in February. Subsequently, it was extended to the entire user base in April.
A spokesperson from Snap stated, “We are currently conducting a thorough review of the ICO’s preliminary decision. Similar to the ICO, we are dedicated to safeguarding our users’ privacy. As part of our standard product development protocol, My AI underwent a rigorous legal and privacy evaluation before its public release. We remain committed to collaborating with the ICO in a constructive manner to ensure their confidence in our risk assessment procedures.”
