OpenAI failed to report a major data breach in 2023

OpenAI, which is headquartered in San Francisco, confirmed the breach to employees and its board of directors in April 2023 on a phone call but chose not to make it public. The company assumed no customer or partner data was compromised, and believed the hacker was an individual, not a government-sponsored actor, the report added.

OpenAI management chose not to publicly disclose the incident, believing that the information stolen was not an immediate threat and that the hacker was likely a single player. The company also did not notify law enforcement agencies, including the FBI, the two sources told the newspaper.

The incident, however, raised concerns among OpenAI staff that foreign adversaries such as China could steal the company’s AI technology and threaten US national security, the newspaper said.


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