Why ChatGPT is Being Banned Internally in Large Organizations Due To Security Issues

chat gpt banned

Rising Issues with ChatGPT

ChatGPT is an impressive language model created by OpenAI, which aimed to develop a conversational AI that could understand and respond to human input coherently and contextually. OpenAI released an initial version of ChatGPT to the public in June 2020, allowing users to interact with it and provide feedback. Saying ChatGPT is a powerful AI tool would be an understatement. Garnering over 1.8 billion site visits, ChatGPT has quickly become the biggest technological advancement in recent years.

Although with its quick rise in popularity, ChatGPT has also begun to see a rise in concern with its use in relation to data privacy, plagiarism, and the spread of false information, from organizations from all industries and sizes. 


Incidents Sparking Concern

Samsung Data Leak

Samsung Electronics has prohibited using generative AI tools, including ChatGPT, by its employees due to concerns about security risks. The South Korea-based company discovered that some of its staff uploaded sensitive code to the platform. The concern is that data transmitted to such AI platforms are stored on external servers, making it hard to retrieve and delete. The memo revealed that Samsung engineers also accidentally leaked internal source code in April by uploading it to ChatGPT.


ChatGPT Data Breach

OpenAI confirmed a data breach in ChatGPT caused by a bug in an open-source Redis client library that exposed user information, occurring in late March 2023. The bug resulted in users being shown chat data belonging to others, and payment-related information belonging to 1.2% of ChatGPT Plus subscribers were also exposed. Following the breach, OpenAI took the chatbot offline to work on a fix. During this time, a cybersecurity firm working on the issue discovered an actively exploited vulnerability in a recently introduced component around the same time.


Who Has Banned ChatGPT?


While some nations eagerly embrace the adoption of ChatGPT and comparable AI technologies, others choose to enforce strict regulations or outright prohibitions on their utilization. As of May 2023, ChatGPT has encountered effective bans in seven countries, including Russia, China, North Korea, Cuba, Iran, Syria, and Italy.

Reasoning behind the banning by some of these countries is based on privacy and data safety concerns, while North Korea, China, and Russia have stated they believe the U.S. would use the program to speak harmful misinformation. 



Below are the corporate entities, as of May 2023, that have banned using ChatGPT to their employees. Most of these companies have banned ChatGPT out of concern for protecting sensitive company information, trade secrets, and client information.



Most notably, New York City public schools, Los Angeles Unified School district, and a handful of colleges and universities across the globe have banned the usage of ChatGPT by students. 

Best summing up the reasoning behind this decision on behalf of these schools is an NYCPS spokesperson who told Chalkbeat New York that “while the tool may be able to provide quick and easy answers to questions, it does not build critical-thinking and problem-solving skills, which are essential for academic and lifelong success.”


ChatGPT is Here to Stay

Despite the fact that certain organizations have banned ChatGPT, the global and widespread usage of the technology suggests that it is here to stay. Furthermore, an increasing number of C-suite executives have expressed a strong interest in hiring employees with experience in ChatGPT. In a recent survey conducted by Resume Builder, a staggering 91% of the 1,187 surveyed business leaders reported actively seeking candidates with ChatGPT experience. This data underscores the growing demand for individuals skilled in utilizing the capabilities of ChatGPT in various professional settings.

Business leaders are acknowledging ChatGPT as a valuable resource helping virtually all of the departments in their organization in one way or another. The same study proved this, as 66% of business leaders reported they believe hiring workers with ChatGPT experience will give the company a competitive edge. 

ChatGPT is a powerful conversational AI tool that has revolutionized our communication with machines. While its widespread usage has raised concerns about data privacy, plagiarism, and the spread of false information, it is undeniable that ChatGPT has made a significant impact on the tech industry and beyond. Despite being banned by certain organizations, countries, and schools, ChatGPT’s popularity and demand are only increasing. As businesses seek to stay competitive and leverage the capabilities of this AI tool, it is clear that ChatGPT is here to stay. It remains to be seen how its use will evolve and what measures will be taken to address the issues that have arisen, but one thing is for sure: ChatGPT has left an indelible mark on the AI landscape.

Written by Samantha Parker

Samantha Parker is a Partner Marketing Specialist at AgileBlue. She is a proud graduate of Kent State University. Samantha currently serves part-time as a soldier in the Army National Guard.

May 16, 2023

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