FTC investigation: Anthropic and OpenAI must testify on consumer harm

The U.S. Federal Trade Commission (FTC) has opened an investigation into possible consumer harm by leading AI developers including Anthropic and OpenAI, and has requested testimony from Anthropic executives. Civil subpoenas reach 50 pages per company, seeking detailed materials on safety incidents, safeguards, marketing practices and data privacy; the FTC sent the first civil demands to the two companies on October 14, 2026, and employees of other unnamed AI companies have received testimony requests, with plans to expand the investigation to more companies. The subpoenas come close in time to the release of Anthropic's prospectus (Form S-1), which warns that excessive government scrutiny could bring high costs and force changes to model design, and that its publicly stated AI safety positions could also invite investigations, disadvantages in government contracts and unfavorable employee visa decisions. Jennifer Huddleston of the Cato Institute notes the need to weigh regulation against overregulation, while presidential adviser David Sacks believes the FTC's existing statutory authority is sufficient for regulation.