Microsoft Faces EU Pressure to Address Risks of AI-Generated ‘Hallucinations’ in Bing Search Engine

Commission requests Microsoft to provide documentation on Bing’s AI: Issue of ‘hallucinations’ arises

The European Commission has issued a directive to Microsoft, requiring the submission of documents pertaining to the utilization of generative artificial intelligence (AI) in its Bing search engine by May 27. The directive focuses on two systems within Microsoft – ‘Copilot in Bing’, a versatile system capable of generating text and images based on user queries, and ‘Image Creator by Designer’, an image generator. The Commission has raised concerns that these AI systems may be generating false information, referred to as “hallucinations”, and producing “deepfake” content which could potentially manipulate voters, potentially breaching the EU Digital Services Act (DSA).

Generative AI systems allow users to create content through queries, such as answering questions, writing essays or stories, and generating images or sounds. “Hallucinations” occur when users receive false answers from a generative AI system, while “deepfakes” involve the deliberate use of AI to manipulate images or videos to misrepresent individuals. If Microsoft fails to comply with the document submission deadline under the DSA, it could face fines up to one percent of its global annual revenue per day.

The EU Digital Services Act is a comprehensive regulation aimed at governing online content and mandates large platforms like Microsoft to mitigate various risks associated with their services. In this case, the Commission has expressed concern about potential misuse of AI-generated content that could influence voters and violate regulations. Failure by Microsoft to address these risks could lead to escalating fines up to six percent of its global annual revenue if deemed necessary by the Commission.

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