The Federal Trade Commission (FTC) is preparing to investigate AI chatbot makers—OpenAI, Meta, and Character.AI—over their impact on children’s mental health. The agency will demand documentation on design choices, data collection, and whether AI interactions could harm young users.

This comes amid rising parental concern that AI chatbots can act as pseudo-friends, sometimes delivering inappropriate or unsafe content. The FTC’s inquiry could reshape how AI companies market and regulate their platforms.

Why this matters: Companies embedding AI must show regulators that they’re designing with child safety in mind. Non-compliance could bring fines and reputation damage.

Source: Reuters – “FTC prepares to grill AI companies over impact on children”
(Covers the FTC’s planned probe into the effects of AI chatbots on kids’ well-being.)