Personal Information Protection Commission (PIPC) — ScatterLab Co., Ltd.
The PIPC imposed a fine and corrective orders on ScatterLab for violating the Personal Information Protection Act by using approximately 9.4 billion KakaoTalk conversation sentences from 600,000 users to develop and operate its AI chatbot 'Iruda' without proper consent, encryption, or deletion of personal information. The company also collected personal information of children under 14 without parental consent and processed sensitive information without separate consent.
Key takeaway — how to prevent this
Algorithmic pricing tools that ingest competitors' data can expose you to price-fixing and antitrust liability — don't delegate pricing to a shared algorithm without competition-law review and genuinely independent decisions.
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