ChatGPT investigates fears it could damage reputation with 'fictitious stories'

Chair Lina Khan has led the FTC's efforts to curb big tech companies. Photo: Graham Jennings/Pool via REUTERS/File Photo

The FTC can fine companies and enforce orders about how they use data, known as consent decrees. However, the agency, led by Chairman Lina Khan, has faced a string of setbacks in its efforts to rein in big tech.

The new investigation comes as the FTC faces pressure after losing a key legal battle against Microsoft. and a failure to block other technology deals.

A judge sided with Microsoft this week after the FTC sought to block the company from buying video game maker Activision Blizzard.

The regulator also lost a bid to block Zuckerberg's Meta from buying Within, a virtual reality company.

The regulator said it would appeal Microsoft's decision.

< p>FTC and OpenAI did not immediately responded to requests for comment.

Ms Khan, nominated by Joe Biden, is due to appear before a congressional committee on Thursday, where she will have to answer questions about her record in the Republican-controlled House of Representatives.