AI Chatbots Are Everywhere — But What Are They Doing With Your Data?
From helping draft emails to summarizing meetings and even suggesting dinner recipes based on what’s in your fridge, AI chatbots like ChatGPT, Google Gemini, Microsoft Copilot, and DeepSeek have become everyday tools for businesses and individuals alike.
But while they’re busy making your life easier, they’re also collecting something in return — your data.
The convenience of AI comes with a privacy trade-off that most users don’t fully realize. These tools are always on, always listening, and always learning — and in many cases, that learning comes directly from the information you give them.
So, What Exactly Are Chatbots Collecting?
When you interact with an AI chatbot, your data doesn’t just disappear after the conversation ends. Here’s what’s actually happening behind the scenes:
1. Data Collection
Every prompt you enter — whether personal, professional, or proprietary — is processed and potentially stored. That includes sensitive details like names, financials, internal business plans, or client data.
2. Data Storage
Each platform handles storage a little differently:
- ChatGPT (OpenAI): Collects your prompts, device info, location data, and usage patterns. Some data may be shared with third-party vendors to “improve services.”
- Microsoft Copilot: Gathers the same as OpenAI — plus your browsing history, app activity, and usage across other Microsoft tools. Some of this may feed into AI training or ad personalization.
- Google Gemini: Keeps conversation logs to enhance Google’s AI tools and machine learning tech. Human reviewers may access chats, and even deleted activity could be retained for up to three years.
- DeepSeek: Arguably the most invasive — collecting your chat history, location, device details, and even typing behavior. Your data is stored on servers in China and may be used for ad targeting and AI training.
3. Data Usage
Most AI vendors use your data to improve their tools, train future models, and “enhance user experience.” But vague language in privacy policies leaves a lot of room for interpretation — and little transparency on where your data actually ends up.
The Real Risks Behind the AI Hype
These tools might save you time — but at what cost?
- Privacy Concerns: Sensitive data shared with AI could be accessed by developers or third-party vendors. Overpermissioning in tools like Copilot has already raised red flags. (Concentric)
- Security Weaknesses: Some AI bots can be exploited to carry out malicious activities. Microsoft Copilot, for example, has been shown to be vulnerable to phishing and data exfiltration attacks. (Wired)
- Compliance Risks: If a chatbot stores or processes data in a way that conflicts with regulations like GDPR or HIPAA, your business could face penalties. Some organizations have already banned certain tools over these concerns. (The Times)
How To Protect Yourself and Your Business
Using AI doesn’t have to mean giving up control of your data. Here’s how to stay smart about it:
Be Selective With What You Share
Don’t input confidential or proprietary information unless you fully understand how it will be used — and stored.
Review Each Platform’s Privacy Settings
Some tools let you opt out of data logging or training. Take the time to explore those options. ChatGPT, for example, offers a setting to disable chat history and data usage for training purposes.
Use Enterprise-Grade Controls
For business users, tools like Microsoft Purview help implement access governance and data protection policies to limit exposure and ensure compliance.
Stay Current On Policy Changes
These platforms update their terms often — and not always with obvious notices. Make it a habit to check for updates and know what you’re agreeing to.
The Bottom Line: Convenience Shouldn’t Compromise Security
AI chatbots are powerful productivity tools — but they’re not risk-free. The data you share could be stored, reviewed, or reused in ways you didn’t intend.
Before you offload sensitive work to AI, make sure your cybersecurity strategy is up to the task.
Start With a Free Network Assessment
We’ll help you evaluate where your data lives, how it’s being used, and what steps you can take to protect your business from unnecessary exposure in today’s AI-powered world.
Click here to schedule your FREE Network Assessment today.
AI is here to stay. Let’s make sure your privacy stays with it.
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