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Breaking News: The Japanese Personal Information Protection Commission Issues a Warning Regarding the Use of ChatGPT

IT

Breaking News: The Japanese Personal Information Protection Commission Issues a Warning Regarding the Use of ChatGPT

Generative AI services, including ChatGPT, are rapidly gaining popularity in our country. However, issues have been raised regarding the handling of personal information in their use.

In response to this issue, the Japanese Personal Information Protection Commission issued a cautionary note on the use of generative AI services on June 2, 2023 (Reiwa 5). In this article, we will explain the contents of the cautionary note for businesses that provide generative AI services.

The Rapidly Spreading ‘ChatGPT’ and Other Generative AI Services

Currently, in our country, generative AI services (services using AI that generates text, images, etc. in response to questions, work instructions (prompt input), etc.) are rapidly spreading. These services are being utilized in various fields such as business and entertainment, and their potential is immeasurable.

However, on the other hand, issues regarding the handling of personal information in the use of generative AI services like ChatGPT have been pointed out. For example, there is a concern about whether companies providing generative AI services using ChatGPT and the like are properly managing the personal information collected from users.

Overview of the Warning Issued by the Japanese Personal Information Protection Commission to OpenAI

Overview of the Warning Issued by the Japanese Personal Information Protection Commission to OpenAI

Considering these circumstances, the Japanese Personal Information Protection Commission has issued a warning regarding the use of generative AI services. Specifically, the warning was issued to OpenAI, L.L.C. and OpenAI OpCo, LLC, the developers and providers of the generative AI service, ChatGPT.

Reference: Japanese Personal Information Protection Commission|Warning on the Use of Generative AI Services (June 2, Reiwa 5 (2023)).jn

The Japanese Personal Information Protection Commission has requested OpenAI not to collect sensitive personal information, which identifies the user or non-user of ChatGPT, without obtaining the individual’s consent in advance.

“Sensitive personal information” refers to certain personal information that requires special consideration in handling to prevent unfair discrimination, prejudice, and other disadvantages to the individual. This includes race, creed, social status, medical history, criminal record, and facts of being victimized by a crime.

In this warning, the issue is whether ChatGPT, provided by OpenAI, is properly managing the personal information collected from users. The Japanese Personal Information Protection Commission has requested OpenAI to improve the handling of personal information collected from users.

Cautionary Notice to Businesses Providing Services Using ChatGPT

At the same time, the Personal Information Protection Commission is also issuing the following cautionary notice to personal information handling businesses.

(1) Points to Consider for personal information handling businesses

① When a personal information handling business inputs a prompt containing personal information into a generative AI service, it is important to ensure that this is done within the necessary scope to achieve the specified purpose of using the said personal information.

② If a personal information handling business inputs a prompt containing personal data into a generative AI service without obtaining the individual’s consent in advance, and the said personal data is handled for purposes other than the output of the response result to the said prompt, there is a possibility that the personal information handling business may violate the provisions of the Personal Information Protection Law. Therefore, when inputting such prompts, it is important to ensure that the business providing the generative AI service does not use the said personal data for machine learning, etc.

“On the Cautionary Notice Regarding the Use of Generative AI Services.jn”

Personal information handling businesses need to check the cautionary notices, etc. issued by the Personal Information Protection Commission when providing generative AI services, and take appropriate measures. Specifically, if a company’s services or products use generative AI services, it is required to check the usage methods and handling methods of personal information, and take necessary improvement measures.

Also, businesses that have a business relationship with companies providing generative AI services should also check whether those companies are taking appropriate personal information protection measures.

Conclusion: Exercise Caution in Utilizing ChatGPT and Handling Personal Information

When providing and using generative AI services like ChatGPT, it is crucial to take measures that fully consider the handling of personal information. Especially when a company’s services or products utilize generative AI services, it is required to verify the usage methods and the ways personal information is handled, and to implement necessary improvements.

As laws regarding the handling of personal information vary by country, there are numerous points to be careful about, beyond the caution advised here, when providing services on the internet. We recommend consulting with a lawyer regarding the handling of personal information.

Our Firm’s Approach

Monolith Law Office is a legal practice with extensive experience in both IT, particularly the internet, and law. The AI business comes with many legal risks, and support from lawyers well-versed in legal issues related to AI is indispensable. Our firm, with a team of lawyers and engineers who are experts in AI, provides advanced legal support for AI businesses, including ChatGPT, such as contract drafting, legality review of business models, intellectual property protection, and privacy compliance.

Managing Attorney: Toki Kawase

The Editor in Chief: Managing Attorney: Toki Kawase

An expert in IT-related legal affairs in Japan who established MONOLITH LAW OFFICE and serves as its managing attorney. Formerly an IT engineer, he has been involved in the management of IT companies. Served as legal counsel to more than 100 companies, ranging from top-tier organizations to seed-stage Startups.

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