SEC Cracks Down on AI Startups Making False Claims to Attract Investors
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The SEC charged two companies, Delphia and Global Predictions, for making false claims about using AI to attract investors.
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The charges send a message to other companies thinking of exaggerating their AI capabilities.
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SEC Chair Gensler warned that new technologies often lead companies to make false claims to investors.
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Gensler said companies should make sure their AI-related claims to investors are truthful.
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The charges come as interest in AI stocks heats up, with Nvidia's AI developer conference seen as an "AI lovefest."