> The FTC Act’s prohibition on deceptive or unfair conduct can apply if you make, sell, or use a tool that is effectively designed to deceive – even if that’s not its intended or sole purpose.
It seems like an awfully broad rule? But they probably could go after this startup if they noticed it.
There are some kinds of businesses where making sure the regulators like what you’re doing is pretty much a prerequisite. On the other hand, plenty of companies got where they are today by pushing the limits.
[1] https://www.ftc.gov/business-guidance/blog/2023/03/chatbots-...