WASHINGTON: OpenAI is facing increased regulatory scrutiny in the United States after a coalition of state attorneys general launched a broad investigation into the artificial intelligence company, according to reports.

The inquiry centres on OpenAI’s business practices and the potential impact of its AI products on consumers. Authorities have reportedly issued a comprehensive subpoena seeking internal records covering a wide range of operations, including advertising strategies, user engagement, data retention practices, and the handling of sensitive consumer and health information.

The investigation is also said to examine OpenAI’s safeguards for vulnerable groups, particularly minors and senior citizens, as well as the development and deployment of its advanced AI models and internal governance policies.

An OpenAI spokesperson acknowledged the investigation, stressing that the company remains committed to the responsible development of artificial intelligence.

“AI is a transformative technology, and we are focused on delivering its benefits safely and responsibly. We take the concerns raised by state attorneys general seriously and look forward to engaging constructively with their offices,” the spokesperson said.

The office of New York’s attorney general, which reportedly led the subpoena effort, has not publicly commented on the investigation.

The regulatory move comes at a pivotal moment for OpenAI. The company recently confidentially filed for a US initial public offering (IPO), with market sources suggesting a potential listing as early as September. Analysts estimate the IPO could value the AI powerhouse at as much as US$1 trillion, making it one of the largest technology listings in history.

The investigation highlights the growing regulatory focus on the rapidly expanding AI industry, as governments seek to balance technological innovation with consumer protection, data privacy, and ethical standards.