Deepfake Protection: FTC Proposes New Rules to Combat AI Impersonation

FTC Introduces New AI Deepfake Regulations to Counter Scams; Impersonator Scams Result in $2.7 Billion Lost in 2023 - Here's What You Should Know

The FTC has updated rules to tackle the risks posed by AI deepfakes to consumer safety.

📷 Jimmy Aki Last updated: February 16, 2024 15:16 EST | 3 min read

📷 Source: Pixabay

The US Federal Trade Commission (FTC) has proposed new updates to its rules regarding artificial intelligence (AI) deepfakes. The objective of these proposed changes is to protect users from AI impersonations, specifically when it comes to businesses and government agencies.

According to the ‘Rule on Impersonation of Government and Businesses’ document by the FTC, AI deepfakes that impersonate businesses and governments may face legal action.

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No AI Deepfakes Allowed for Businesses and Government Agencies

The FTC believes that these rule changes are necessary due to the alarming prevalence of impersonations of businesses, government officials, and parastatals. The goal is to protect customers from potential harm caused by generative AI platforms.

Once the updated rule comes into effect, businesses or individuals who defraud users by posing as legitimate entities may face legal consequences. The FTC will be empowered to go after these scammers.

While the AI industry has shown significant advancements since the launch of ChatGPT by the OpenAI team in November 2022, there is a downside. Cybercriminals have found ways to exploit powerful AI tools, such as those offered by OpenAI and Google, to deceive their target audience through altered appearances or voices.

The new FTC rule aims to crack down on these criminals and ensure that they bear the full weight of the law. Although there is no explicit rule that makes AI-generated recreations illegal, US Senators Chris Coons, Marsha Blackburn, and Thom Tillis have already taken steps to address the issue.

Impersonator Scams: A Billion-Dollar Threat

Impersonator scams, although not often discussed in tabloids, pose a significant threat to the US. In a comment by FTC Chair Lina Khan, it was noted that voice cloning and AI-driven scams were on the rise.

Updating the rules will strengthen the FTC’s ability to combat AI-enabled scams that involve impersonations. In terms of the potential hazard these scams pose, US citizens lost over $2.7 billion in 2023.

The proposed new rules will also empower the agency to return the stolen funds to the victims affected by such scams.

Additionally, Jessica Rosenworcel, the head of the Federal Communications Commission (FCC), has put forward a proposal to classify all calls with AI-generated voices as illegal. This suggestion came after reports emerged of US citizens receiving robocalls imitating President Joe Biden, advising voters not to participate in the US Presidential elections.

Within the crypto industry, AI deepfakes have become a menace. Michael Saylor, Chairman of Microstrategy, reveals that approximately 80 deepfake videos of himself are removed daily. These videos typically show Saylor asking users to send their Bitcoin to a posted wallet address. While efforts are made to remove these deepfake videos, new ones continue to emerge regularly.

Q&A

Q: How do AI deepfakes work?

A: AI deepfakes use advanced algorithms to manipulate existing digital content, such as videos or images, and create realistic but fake versions. These can involve altering appearances, voices, or both to deceive the audience.

Q: How can AI deepfakes be harmful?

A: AI deepfakes can be harmful in numerous ways. They can be used to impersonate individuals or organizations, potentially leading to financial scams, reputational damage, or even political manipulation.

Q: What measures can individuals or businesses take to protect themselves from AI deepfakes?

A: Staying vigilant is crucial. Be cautious of information received from unexpected sources and verify its authenticity. There are also AI-powered detection tools that can help identify deepfakes.

Q: Are there any legal consequences for creating or distributing AI deepfakes?

A: The legality of AI deepfakes varies from jurisdiction to jurisdiction. In some cases, creating or distributing them without consent or with malicious intent can lead to legal consequences, such as defamation or fraud.

Q: What steps can the government take to combat AI deepfakes?

A: Governments can implement regulations and policies, like the proposed FTC rule changes, to discourage the creation and distribution of AI deepfakes. They can also invest in research and development of AI detection technologies.

Future Outlook and Conclusion

As AI technology continues to advance, the battle against AI deepfakes will be ongoing. Governments, businesses, and individuals must remain vigilant and adapt to the evolving threat landscape.

The proposed rule changes by the FTC highlight the seriousness of the issue and the need for legal frameworks to protect users from AI impersonations. Additionally, the FCC’s proposal to categorize calls with AI-generated voices as illegal further emphasizes the determination to combat deepfake-related crimes.

While progress is being made, it is essential for users to maintain awareness and take proactive measures to protect themselves from falling victim to AI deepfake scams.

References:

1. FTC ‘Rule on Impersonation of Government and Businesses’ document
2. OpenAI’s Launch of ChatGPT
3. Increasing Productivity with AI Tools
4. US Senators Taking Steps to Address AI Deepfakes
5. Impersonator Scams Stealing Billions
6. US Citizens Getting Robocalls
7. Microstrategy Chairman Warns Crypto Investors
8. Follow Us on Google News

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