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arxiv:2509.05382

User Privacy and Large Language Models: An Analysis of Frontier Developers' Privacy Policies

Published on Sep 5, 2025
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Abstract

The study examines privacy policies of major AI developers to reveal widespread use of chat data for model training, indefinite retention, and insufficient transparency.

Hundreds of millions of people now regularly interact with large language models via chatbots. Model developers are eager to acquire new sources of high-quality training data as they race to improve model capabilities and win market share. This paper analyzes the privacy policies of six U.S. frontier AI developers to understand how they use their users' chats to train models. Drawing primarily on the California Consumer Privacy Act, we develop a novel qualitative coding schema that we apply to each developer's relevant privacy policies to compare data collection and use practices across the six companies. We find that all six developers appear to employ their users' chat data to train and improve their models by default, and that some retain this data indefinitely. Developers may collect and train on personal information disclosed in chats, including sensitive information such as biometric and health data, as well as files uploaded by users. Four of the six companies we examined appear to include children's chat data for model training, as well as customer data from other products. On the whole, developers' privacy policies often lack essential information about their practices, highlighting the need for greater transparency and accountability. We address the implications of users' lack of consent for the use of their chat data for model training, data security issues arising from indefinite chat data retention, and training on children's chat data. We conclude by providing recommendations to policymakers and developers to address the data privacy challenges posed by LLM-powered chatbots.

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