🕶️ Therapy, fantasy, or trouble? ChatGPT crosses a line

By August 12, 2025, the FTC had logged about 200 complaints mentioning ChatGPT. Only seven described delusions or paranoia; most were routine issues like refund requests or bad answers. Still, those rare cases grabbed headlines.

For AI companions and chatbots, the danger isn’t mind control—it’s that the model might echo or encourage someone’s existing delusions, using a gentle or “therapeutic” tone. That could push regulators to require stricter refusals, better crisis handling, age limits, and clearer disclaimers.

What this means: The FTC may issue new guidance. Companies could face liability for not warning users. Enterprise clients will likely demand proof of safety, and insurers may start pricing in mental health risks. Teams should prepare with clinical-style red-teaming, tiered refusal systems, and ways to log and escalate sensitive cases to human reviewers.

Companies are quietly letting algorithms make life-changing calls—who gets hired, a loan, or medical care. These “black box” systems learn from past data, but even their creators can’t explain their logic. That means bias doesn’t just persist—it scales.

This video unpacks how these systems work, the scandals they’ve caused, and the rules emerging to control them. From Amazon’s biased hiring AI to hospital tools that disadvantaged Black patients, the risks are already here. The real question: can we make AI fair—or are we just automating discrimination?

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Meta and TikTok got a preliminary slap from Brussels: EU regulators found in breach of the DSA for making researcher access to public data overly “burdensome”—researchers asked for APIs, got a scavenger hunt. The probe also flags clunky reporting flows and alleged “dark patterns” in Instagram/Facebook UIs.

If confirmed, fines up to 6% of global revenue are in play, plus obligations to streamline data access, reporting, and appeals. Expect tighter oversight on VLOPs, cleaner UX, and fewer growth hacks—alongside higher compliance lift. Both companies can contest and propose fixes before a final decision.