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Search: “Center for Democracy and Technology”
11 stories
Inside ‘Project Lily’: The Humans Reading Your ChatGPT Chats
404 Media reveals OpenAI's 'Project Lily' has hundreds of contractors reading real ChatGPT user prompts, exposing sensitive personal data despite privacy filters.
404 Media reports that OpenAI employs hundreds of contractors who read real ChatGPT user prompts, including whole conversations, to rate and critique the chatbot's responses across a user base of over 900 million. Prompts are anonymized and run through OpenAI's Privacy Filter model, but the company acknowledged sensitive personal details can still reach reviewers, and 'user memories summaries' may reveal a user's location and personal context. The review work includes training ChatGPT to be less sycophantic and to stop anthropomorphizing itself, following lawsuits linking the sycophantic 4o model to multiple suicides. Anthropic confirmed it also uses human review to improve its models, and OpenAI's 'improve the model for everyone' data-sharing setting is on by default for free, Plus, and Pro users.
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Microsoft Commits to Sweeping AI Privacy Rules for Students. Will Other Tech Giants Follow?
Microsoft signed legally binding AI privacy and safety standards for schools with the American Federation of Teachers, effective November 1.
Microsoft's agreement with the American Federation of Teachers prohibits using student or educator data to train AI systems, bans selling data or using it for ads and product development, and forbids AI companions designed to foster emotional dependency, with third-party audits required. The standards apply to all schools under Microsoft contract starting November 1. NYC and LA school districts announced one-year moratoriums on student AI use, while OpenAI and Anthropic pursue similar pacts and Google remains noncommittal.
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Simulation: the new Scaling Law — Joon Sung Park, Simile AI
Simile AI raised a $2B Series B from GreenOaks and Index Ventures to scale human-behavior simulation for Fortune 100 clients like CVS.
Simile AI, co-founded by Generative Agents researcher Joon Sung Park, announced a $2 billion Series B backed by GreenOaks and Index Ventures, with Fei-Fei Li and Andrej Karpathy among backers. The company runs tens of millions of simulations for Fortune 100 clients including CVS, reporting 85-99% accuracy versus human focus groups and digital twins of 1,000 real people at 85% behavioral accuracy. The long-term ambition is foundation models of human behavior, post-trained on interviews, transaction data, and randomized controlled trials, potentially simulating all 8 billion people.
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Trump may be forced to reveal secret rules feds use for AI safety testing
Protect Democracy sued four federal agencies to force disclosure of the administration's secret framework for frontier AI safety reviews.
Nonprofit Protect Democracy sued four federal agencies, including the Office of the National Cyber Director, OSTP, Treasury and Commerce, seeking disclosure of the secret voluntary framework used for pre-release safety reviews of frontier AI models. The complaint demands the framework text, participant identities and selection criteria by September 30, alleging OpenAI negotiated a private agreement limiting distribution of its cutting-edge models to government-vetted partners. The suit follows the launch of the GOLD EAGLE clearinghouse and the completion of the review framework on August 3, with California Senator Josh Becker supporting the request while the state considers the SB 813 bill for transparent AI safety standards.
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The FTC wants to regulate AI for ideological bias
FTC proposes classifying ideological bias in AI systems as an unfair or deceptive practice, drawing criticism over legal authority and censorship risks.
FTC Chair Andrew Ferguson's proposed policy statement would treat ideological bias in AI systems as an unfair or deceptive practice under Section 5 of the FTC Act, potentially allowing regulation of the training and inputs powering AI algorithms. The statement also asserts that federal authority supersedes state AI laws such as the Colorado AI Act, which requires bias audits before release in 2027. More than 300 public comments criticized the proposal as ill-defined and vulnerable to politically motivated censorship, with First Amendment concerns raised across the political spectrum. Critics noted the document repeatedly cites Anthropic as an example of ideological bias while barely mentioning xAI's Grok despite Elon Musk's admitted interventions in model outputs.
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What's Scarier Than Agents Taking over Internet? CEO Cartel Trying Take over AI
Opinion essay argues Dario Amodei's proposals for embedded evaluators and frontier AI coordination would require antitrust waivers and entrench a large-lab cartel.
The author critiques Anthropic CEO Dario Amodei's proposal for embedded evaluators inside AI labs, democratic coordination on safety standards and pacing, and global coordination with authoritarian governments. He argues such coordination requires loosening antitrust law, burdening startups while shielding incumbents like Anthropic, OpenAI, and xAI, and doubts verifiable global pacing given enormous defection incentives. The piece links lab motivations to data center subsidy pushback, competition from open-source and low-cost Chinese models, and upcoming IPO financial disclosures.
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