Indonesia Blocks Yahoo, Paypal, Gaming Websites Over License Breaches

FILE PHOTO: The PayPal app logo seen on a mobile phone in this illustration photo October 16, 2017. REUTERS/Thomas White/IllustrationREUTERS
FILE PHOTO: The PayPal app logo seen on a mobile phone in this illustration photo October 16, 2017. REUTERS/Thomas White/IllustrationREUTERS
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Indonesia Blocks Yahoo, Paypal, Gaming Websites Over License Breaches

FILE PHOTO: The PayPal app logo seen on a mobile phone in this illustration photo October 16, 2017. REUTERS/Thomas White/IllustrationREUTERS
FILE PHOTO: The PayPal app logo seen on a mobile phone in this illustration photo October 16, 2017. REUTERS/Thomas White/IllustrationREUTERS

Indonesia has blocked search engine website Yahoo, payments firm Paypal and several gaming websites due to failure to comply with licensing rules, an official said on Saturday, sparking a backlash in social media, Reuters reported.

Registration is required under rules released in late November 2020 and will give authorities broad powers to compel platforms to disclose data of certain users, and take down content deemed unlawful or that "disturbs public order" within four hours if urgent and 24 hours if not.

Several tech companies had rushed to register in days leading to the deadline, which had been extended until Friday, including Alphabet Inc's, Meta Platforms Inc's Facebook, Instagram and WhatsApp and Amazon.com Inc.

Semuel Abrijani Pangerapan, a senior official at Indonesia's Communications Ministry, said in a text message websites that have been blocked include Yahoo, Paypal and gaming sites like Steam, Dota2, Counter-Strike and EpicGames, among others.

Paypal, Yahoo's parent private equity firm Apollo Global Management and U.S. game developer Valve Corporation, which runs Steam, Dota and Counter-Strike, did not immediately respond to requests for comment. EpicGames could not be reached for comment.

Hashtags like "BlokirKominfo" (block Communication Ministry), Epic Games and Paypal trended on Indonesian Twitter, with many writing messages criticizing the government's move as hurting Indonesia's online gaming industry and freelance workers who use Paypal.

Pangerapan did not respond to a request for comment.

With an estimated 191 million internet users and a young, social-media savvy population, the Southeast Asian nation is a significant market for a host of tech platforms.



Italy Fines OpenAI over ChatGPT Privacy Rules Breach

The Italian watchdog also ordered OpenAI to launch a six-month campaign on Italian media to raise public awareness about how ChatGPT works - Reuters
The Italian watchdog also ordered OpenAI to launch a six-month campaign on Italian media to raise public awareness about how ChatGPT works - Reuters
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Italy Fines OpenAI over ChatGPT Privacy Rules Breach

The Italian watchdog also ordered OpenAI to launch a six-month campaign on Italian media to raise public awareness about how ChatGPT works - Reuters
The Italian watchdog also ordered OpenAI to launch a six-month campaign on Italian media to raise public awareness about how ChatGPT works - Reuters

Italy's data protection agency said on Friday it fined ChatGPT maker OpenAI 15 million euros ($15.58 million) after closing an investigation into use of personal data by the generative artificial intelligence application.

The fine comes after the authority found OpenAI processed users' personal data to "train ChatGPT without having an adequate legal basis and violated the principle of transparency and the related information obligations towards users".

OpenAI said the decision was "disproportionate" and that the company will file an appeal against it.

The investigation, which started in 2023, also concluded that the US-based company did not have an adequate age verification system in place to prevent children under the age of 13 from being exposed to inappropriate AI-generated content, the authority said, Reuters reported.

The Italian watchdog also ordered OpenAI to launch a six-month campaign on Italian media to raise public awareness about how ChatGPT works, particularly as regards to data collection of users and non-users to train algorithms.

Italy's authority, known as Garante, is one of the European Union's most proactive regulators in assessing AI platform compliance with the bloc's data privacy regime.

Last year it briefly banned the use of ChatGPT in Italy over alleged breaches of EU privacy rules.

The service was reactivated after Microsoft-backed OpenAI addressed issues concerning, among other things, the right of users to refuse consent for the use of personal data to train the algorithms.

"They've since recognised our industry-leading approach to protecting privacy in AI, yet this fine is nearly twenty times the revenue we made in Italy during the relevant period," OpenAI said, adding the Garante's approach "undermines Italy's AI ambitions".

The regulator said the size of its 15-million-euro fine was calculated taking into account OpenAI's "cooperative stance", suggesting the fine could have been even bigger.

Under the EU's General Data Protection Regulation (GDPR) introduced in 2018, any company found to have broken rules faces fines of up to 20 million euros or 4% of its global turnover.