Consumer protection Archives | Page 36 of 217

California moves to halt X AI deepfakes

California has ordered Elon Musk’s AI company xAI to stop creating and sharing non-consensual sexual deepfakes immediately. The move follows a surge in explicit AI-generated images circulating on X.

Attorney General Rob Bonta said xAI’s Grok tool enabled the manipulation of images of women and children without consent. Authorities argue that such activity breaches state decency laws and a new deepfake pornography ban.

The Californian investigation began after researchers found Grok users shared more non-consensual sexual imagery than users of other platforms. xAI introduced partial restrictions, though regulators said the real-world impact remains unclear.

Lawmakers say the case highlights growing risks linked to AI image tools. California officials warned companies could face significant penalties if deepfake creation and distribution continue unchecked.

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Finnish data breach exposed thousands of patients

A major data breach at Finnish psychotherapy provider Vastaamo exposed the private therapy records of around 33,000 patients in 2020. Hackers demanded bitcoin payments and threatened to publish deeply personal notes if victims refused to pay.

Among those affected was Meri-Tuuli Auer, who described intense fear after learning her confidential therapy details could be accessed online. Stolen records included discussions of mental health, abuse, and suicidal thoughts, causing nationwide shock.

The breach became the largest criminal investigation in Finland, prompting emergency government talks led by then prime minister Sanna Marin. Despite efforts to stop the leak, the full database had already circulated on the dark web.

Finnish courts later convicted cybercriminal Julius Kivimäki, sentencing him to more than six years in prison. Many victims say the damage remains permanent, with trust in therapy and digital health systems severely weakened.

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French regulator fines Free and Free Mobile €42 million

France’s data protection regulator CNIL has fined telecom operators Free Mobile and Free a combined €42 million over a major customer data breach. The sanctions follow an October 2024 cyberattack that exposed personal data linked to 24 million subscriber contracts.

Investigators found security safeguards were inadequate, allowing attackers to access sensitive personal data, including bank account details. Weak VPN authentication and poor detection of abnormal system activity were highlighted as key failures under the GDPR.

The French regulator also ruled that affected customers were not adequately informed about the risks they faced. Notification emails lacked sufficient detail to explain potential consequences or protective steps, thereby breaching obligations to clearly communicate data breach impacts.

Free Mobile faced an additional penalty for retaining former customer data longer than permitted. Authorities ordered both companies to complete security upgrades and data clean-up measures within strict deadlines.

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WordPress AI team outlines SEO shifts

Industry expectations around SEO are shifting as AI agents increasingly rely on existing search infrastructure, according to James LePage, co-lead of the WordPress AI team at Automattic.

Search discovery for AI systems continues to depend on classic signals such as links, authority and indexed content, suggesting no structural break from traditional search engines.

Publishers are therefore being encouraged to focus on semantic markup, schema and internal linking, with AI optimisation closely aligned to established long-tail search strategies.

Future-facing content strategies prioritise clear summaries, ranked information and progressive detail, enabling AI agents to reuse and interpret material independently of traditional websites.

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Questions mount over AI-generated artist

An artist called Sienna Rose has drawn millions of streams on Spotify, despite strong evidence suggesting she is AI-generated. Several of her jazz-influenced soul tracks have gone viral, with one surpassing five million plays.

Streaming platform Deezer says many of its songs have been flagged as AI-made using detection tools that identify technical artefacts in the audio. Signs include an unusually high volume of releases, generic sound patterns and a complete absence of live performances or online presence.

The mystery intensified after pop star Selena Gomez briefly shared one of Rose’s tracks on social media, only for it to be removed amid growing scrutiny. Record labels linked to Rose have declined to clarify whether a human performer exists.

The case highlights mounting concern across the industry as AI music floods streaming services. Artists, including Raye and Paul McCartney, have warned audiences that they still value emotional authenticity over algorithmic output.

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xAI faces stricter pollution rules for Memphis data centre

US regulators have closed a loophole that allowed Elon Musk’s AI company, xAI, to operate gas-burning turbines at its Memphis data centre without full air pollution permits. The move follows concerns over emissions and local health impacts.

The US Environmental Protection Agency clarified that mobile gas turbines cannot be classified as ‘non-road engines’ to avoid Clean Air Act requirements. Companies must now obtain permits if their combined emissions exceed regulatory thresholds.

Local authorities had previously allowed the turbines to operate without public consultation or environmental review. The updated federal rule may slow xAI’s expansion plans in the Memphis area.

The Colossus data centre, opened in 2024, supports training and inference for Grok AI models and other services linked to Musk’s X platform. NVIDIA hardware is used extensively at the site.

Residents and environmental groups have raised concerns about air quality, particularly in nearby communities. Legal advocates say xAI’s future operations will be closely monitored for regulatory compliance.

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EU revises Cybersecurity Act to streamline certification

The European Commission plans to revise the Cybersecurity Act to expand certification schemes beyond ICT products and services. Future assessments would also cover companies’ overall risk-management posture, including governance and supply-chain practices.

Only one EU-wide scheme, the Common Criteria framework, has been formally adopted since 2019. Cloud, 5G, and digital identity certifications remain stalled due to procedural complexity and limited transparency under the current Cybersecurity Act framework.

The reforms aim to introduce clearer rules and a rolling work programme to support long-term planning. Managed security services, including incident response and penetration testing, would become eligible for EU certification.

ENISA would take on a stronger role as the central technical coordinator across member states. Additional funding and staff would be required to support its expanding mandate under the newer cybersecurity laws.

Stakeholders broadly support harmonisation to reduce administrative burden and regulatory fragmentation. The European Commission says organisational certification would assess cybersecurity maturity alongside technical product compliance.

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CIRO discloses scale of August 2025 cyber incident

Canada’s investment regulator has confirmed a major data breach affecting around 750,000 people after a phishing attack in August 2025.

The Canadian Investment Regulatory Organization (CIRO) said threat actors accessed and copied a limited set of investigative, compliance, and market surveillance data. Some internal systems were taken offline as a precaution, but core regulatory operations continued across the country.

CIRO reported that personal and financial information was exposed, including income details, identification records, contact information, account numbers, and financial statements collected during regulatory activities in Canada.

No passwords or PINs were compromised, and the organisation said there is no evidence that the stolen data has been misused or shared on the dark web.

Affected individuals are being offered two years of free credit monitoring and identity theft protection as CIRO continues to monitor for further malicious activity nationwide.

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OpenAI outlines advertising plans for ChatGPT access

The US AI firm, OpenAI, has announced plans to test advertising within ChatGPT as part of a broader effort to widen access to advanced AI tools.

An initiative that focuses on supporting the free version and the low-cost ChatGPT Go subscription, while paid tiers such as Plus, Pro, Business, and Enterprise will continue without advertisements.

According to the company, advertisements will remain clearly separated from ChatGPT responses and will never influence the answers users receive.

Responses will continue to be optimised for usefulness instead of commercial outcomes, with OpenAI emphasising that trust and perceived neutrality remain central to the product’s value.

User privacy forms a core pillar of the approach. Conversations will stay private, data will not be sold to advertisers, and users will retain the ability to disable ad personalisation or remove advertising-related data at any time.

During early trials, ads will not appear for accounts linked to users under 18, nor within sensitive or regulated areas such as health, mental wellbeing, or politics.

OpenAI describes advertising as a complementary revenue stream rather than a replacement for subscriptions.

The company argues that a diversified model can help keep advanced intelligence accessible to a wider population, while maintaining long term incentives aligned with user trust and product quality.

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New ETSI standard defines cybersecurity rules for AI systems

ETSI has released ETSI EN 304 223, a new European Standard establishing baseline cybersecurity requirements for AI systems.

Approved by national standards bodies, the framework becomes the first globally applicable EN focused specifically on securing AI, extending its relevance beyond European markets.

The standard recognises that AI introduces security risks not found in traditional software. Threats such as data poisoning, indirect prompt injection and vulnerabilities linked to complex data management demand tailored defences instead of conventional approaches alone.

ETSI EN 304 223 combines established cybersecurity practices with targeted measures designed for the distinctive characteristics of AI models and systems.

Adopting a full lifecycle perspective, the ETSI framework defines thirteen principles across secure design, development, deployment, maintenance and end of life.

Alignment with internationally recognised AI lifecycle models supports interoperability and consistent implementation across existing regulatory and technical ecosystems.

ETSI EN 304 223 is intended for organisations across the AI supply chain, including vendors, integrators and operators, and covers systems based on deep neural networks, including generative AI.

Further guidance is expected through ETSI TR 104 159, which will focus on generative AI risks such as deepfakes, misinformation, confidentiality concerns and intellectual property protection.

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