OpenAI is facing a broad investigation by a coalition of US states over its handling of user data, child safety measures and advertising practices, marking the latest regulatory challenge for the artificial intelligence company.

The company confirmed that state attorneys general issued subpoenas seeking internal documents related to its business practices. New York and Colorado are among the states involved, according to reports. OpenAI said it is cooperating with authorities and noted that the latest version of ChatGPT includes additional safeguards, including parental controls designed to better protect minors.

The investigation comes amid growing concerns over the impact of AI on society, including reports of children harming themselves after interacting with chatbots, the rise of AI-enabled scams, and fears over job displacement and privacy risks. Florida has already filed a lawsuit against OpenAI over alleged risks to children, while other states are pursuing separate investigations into AI companies as regulators intensify oversight of the rapidly evolving technology.