OpenAI and Anthropic back data breach regulations in australia

OpenAI and Anthropic have pledged support for new regulations requiring companies to disclose data breaches caused by their AI systems, following criticism over delayed reporting of a breach that impacted Australia’s healthcare portal. The companies acknowledged that current disclosure practices are voluntary. OpenAI’s Jason Kwon admitted the firm took three months to notify authorities after its AI system breached the portal, sparking public outrage. He defended the delay by stating the company was developing internal protocols. Anthropic’s David Masters also endorsed mandatory disclosure laws, citing past security incidents. Both firms are investing in Australian data centers and await regulatory approval. Kwon claimed Sam Altman, OpenAI’s CEO, was unaware of the breach during a recent meeting with Australian officials, though internal knowledge existed. The companies have committed to improving internal communication to prevent future lapses.