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Chatbot in NYC Allegedly Providing ‘Dangerously Inaccurate’ Information to Businesses

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An AI chatbot developed by the New York City government to assist business owners in accessing important information has been found to be disseminating inaccurate information and even providing misinformation about laws, according to a recent report. The chatbot, integrated into the MyCity portal, was created in collaboration with Microsoft’s Azure AI to offer reliable information sourced directly from city government websites. However, during testing, it was discovered that the chatbot was providing incorrect responses on various topics such as housing policies, workers’ rights, and more.

For instance, the chatbot falsely claimed that businesses in New York City are allowed to operate as cashless stores, even though cashless stores have been banned since 2020. The chatbot also provided incorrect information regarding employers taking workers’ tips, landlords accepting section 8 vouchers, and businesses informing staff of scheduling changes. Expert analysis referred to the chatbot as “dangerously inaccurate” in its responses.

Despite these findings, the city has acknowledged that the chatbot is a work in progress. Leslie Brown, a spokesperson for the NYC Office of Technology and Innovation, noted that the chatbot has already assisted thousands of individuals with accurate information but highlighted the need for further enhancements to better support small businesses in the city.



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