ChatGPT Faces Greater Regulatory Oversight by EU

The European Union said ChatGPT qualifies for greater oversight by its antitrust regulator.

OpenAI’s chatbot has been designated a Very Large Online Search Engine (VLOSE) under Europe’s Digital Services Act, the European Commission said in a Monday (Aug. 31) press release. The commission also labeled Reddit and Roblox as Very Large Online Platforms (VLOP).

“These new designations mean that ChatGPT, Reddit and Roblox will now be held to a higher standard of scrutiny and accountability in the European Union, in line with their large impact on our citizens and society,” Henna Virkkunen, the commission’s executive vice president for tech sovereignty, security and democracy, said in the release. “We continue to watch the digital landscape closely and will not hesitate to designate any platform that meets the threshold for enhanced supervision under the Digital Services Act.”

The three companies meet the threshold for the new designation because they reach at least 45 million average monthly users in the EU. The companies have until the end of January 2027 to take measures to comply with the new designations, according to the release.

These include “assessing and mitigating the systemic risks stemming from their service and algorithmic systems related to the dissemination of illegal content, the negative effects on minors, users’ physical and mental well-being, fundamental rights, electoral processes and public security,” the release said.

The designations give the commission “investigative powers to assess the functionalities behind these services and, where applicable, any related system,” according to the release.

To date, the commission has designated 28 companies as VLOPs and VLOSEs, including Amazon, Apple, Google, Meta, Microsoft and TikTok.

“ChatGPT search operates as a search service under the DSA, and we are preparing to meet the additional compliance requirements that come with this Very Large Online Search Engine designation,” a spokesperson for OpenAI said in a statement to PYMNTS.

The company added that the designation illustrates Europe’s rapid adoption of new search methods, with ChatGPT one of three search services designated under the DSA at this scale.

The other two search services are Microsoft Bing and Google Search.

Roblox said in a statement provided to PYMNTS: “We are proud to be the first gaming platform to reach this milestone in the EU, growth driven by our developer community and backed by our commitment to fostering a safe, civil and age-appropriate online experience. From pioneering age-check systems for chat and content, to default protections for younger players, safety is foundational to everything we do, and we look forward to continuing our constructive engagement with the European Commission.”

A Reddit spokesperson told PYMNTS the company is committed to complying with the Digital Services Act.

“We’ve been preparing to meet the VLOP requirements and look forward to coordinating with EU regulators while providing transparency for Reddit users,” they said.

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