ChatGPT in Focus of Data Protection Officers: GDPR Compliance Questioned

ChatGPT in Focus of Data Protection Officers: GDPR Compliance Questioned

Data Privacy Concerns in the Use of ChatGPT

The use of the AI-powered chatbot ChatGPT by OpenAI is increasingly under scrutiny in data protection discussions. Both experts and regulatory authorities are expressing significant concerns regarding the compatibility of the technology with the General Data Protection Regulation (GDPR).

Lack of Transparency in Data Processing

One of the main criticisms is the lack of transparency about how personal data is collected, processed, and stored by ChatGPT. OpenAI has so far provided insufficient information about these processes, which violates the GDPR principles of transparency and traceability.

Risk of Incorrect or Outdated Information

Another issue is that ChatGPT may generate and disseminate incorrect or outdated personal information. This contradicts the GDPR's principle of data accuracy. Although individuals have the right to rectification, the technical implementation is challenging due to the complexity of AI systems.

Actions by Data Protection Authorities: Example Italy

The Italian Data Protection Authority took a further step by temporarily banning the use of ChatGPT. The main reasons were the absence of an age verification system and the unlawful collection of personal data. In Germany, regulatory authorities are also intensively examining the data protection aspects of the AI system.

An example of a potential data protection violation when using ChatGPT could be if a company directly inputs personal customer data into the ChatGPT system to automatically handle support inquiries. This could include names, contact information, or even sensitive information such as medical histories or financial data. Since ChatGPT is operated on third-party cloud servers, the company cannot guarantee that this data is stored or processed securely and in compliance with GDPR.

Risks for Companies Using ChatGPT

Companies that wish to use ChatGPT face significant legal risks. Without a clear legal basis and transparent data processing practices, there is a risk of violating applicable data protection laws. Experts advise refraining from inputting personal data into ChatGPT for the time being or not using this tool in the corporate context at all.

Challenges for OpenAI: GDPR-Compliant Design

OpenAI is now faced with the challenge of making the technology GDPR-compliant. This requires, among other things, robust data protection measures, transparent information about data processing activities, and ensuring the rights of affected individuals.

Conclusion: Conflict Between Innovation and Data Protection

The discussion around ChatGPT highlights the tensions between technological advancement and the protection of personal data. Whether OpenAI and other developers succeed in adapting AI systems to the strict European data protection standards remains to be seen. However, promising GDPR-compliant solutions are already in development—including at COSBOO. These approaches will soon offer companies the opportunity to use AI securely and in compliance with data protection regulations.

New publications

Retrieval-Augmented Generation Revolutionizes Corporate AI: More Precision, Less Costs

Retrieval-Augmented Generation Revolutionizes Corporate AI: More Precision, Less Costs

to the article
Why German Companies Should See Data Science as the Main Problem of Digitization

Why German Companies Should See Data Science as the Main Problem of Digitization

to the article
Open Source LLMs Gaining Importance in Companies: Flexibility and Data Protection as Trump Cards

Open Source LLMs Gaining Importance in Companies: Flexibility and Data Protection as Trump Cards

to the article

Our experience & applications


ARGO Backend

ARGO - powered by COSBOO is a backend infrastructure with REST API that provides processes, content and access logics for apps, websites and other data-driven projects.

icon icon external-link-white

e-Gehalt / DMS

Deliver digital payslips and other HR documents electronically. You continue to create the payslips in your HR system. e-Gehalt delivers the payslips digitally to your employees.

icon icon external-link-white

E-Commerce

We use ARGO in our shops in such a way that digital products, features, media and subscriptions can be sold successfully. The basis is so flexible that even unusual applications with special features can be implemented.

icon icon external-link-white

Chats & social network systems

With ARGO we build individual and secure chats for online portals, web applications and web shops. We also implement individual social network systems with blogging, comment functions, P2P communication, user ratings and the like.

icon icon external-link-white

Matching

Digitally map matching processes for different business cases. With matching portals from COSBOO, you digitise your business model when it comes to matching products, goods or services. Flexible access rules and matching processes make it possible to digitally map even complex business cases.

icon icon external-link-white

Fintec / Finance

We are familiar with digital payments, coins, investment processes, lending and much more. In the past, we have advised several start-ups in the field of finane and successfully supported them in their product development.

icon icon external-link-white

Start your non-binding enquiry