AI Threat Watch

Case texas-ag-meta-character-ai-therapy-probeChatbot harmUnited States

Texas AG investigates Meta AI Studio and Character.AI over bots posing as therapists to children

Texas Attorney General Ken Paxton opened an investigation into Meta AI Studio and Character.AI for possibly marketing chatbots as mental health tools that can impersonate licensed professionals. It followed his December 2024 investigation of Character.AI and 14 other companies under the SCOPE Act, the Texas children's online privacy law.

HighHarm caused by AIStatus: Under investigationVerified case file

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Reported
Aug 18, 2025
Location
United States
Target
Children and other vulnerable users in Texas
Severity
High
Verification
Confirmed by victim, vendor or authority
Triggered by
Meta Platforms (AI Studio), Character Technologies (Character.AI)
Actor type
AI product design / safeguards
Sector
Individuals & consumers
Reported loss
None reported
CVE
None

What happened

Texas Attorney General Ken Paxton opened an investigation into Meta AI Studio and Character.AI for possibly marketing chatbots as mental health tools that can impersonate licensed professionals. It followed his December 2024 investigation of Character.AI and 14 other companies under the SCOPE Act, the Texas children's online privacy law.

Impact: Civil investigative demands issued to both companies

Who triggered it

Actor: Meta Platforms (AI Studio), Character Technologies (Character.AI)

Attribution: Office of the Texas Attorney General

Motive: None; regulator action over product marketing

How it happened

Attack vector: User-created therapist personas that claim credentials and promise confidentiality

Root cause: As alleged: deceptive marketing and logging of chats for advertising despite claims of privacy

Timeline

  1. Paxton opens SCOPE Act and TDPSA investigations into Character.AI and 14 other firms
  2. Paxton opens investigation into Meta AI Studio and Character.AI

Response

The outcome had not been reported.

Current status: Under investigation

Research warnings this case matches

Compared with published AI risk research from several institutes on the Research vs reality page.

Sources (open in a new tab)

Cite this case

Texas AG investigates Meta AI Studio and Character.AI over bots posing as therapists to children. AI Threat Watch, case texas-ag-meta-character-ai-therapy-probe, Aug 18, 2025. https://aithreat.io/cases/texas-ag-meta-character-ai-therapy-probe/

Permanent link: https://aithreat.io/cases/texas-ag-meta-character-ai-therapy-probe/

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