{"id":918233,"date":"2026-10-06T13:50:11","date_gmt":"2026-10-06T13:50:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/918233\/"},"modified":"2026-10-06T13:50:11","modified_gmt":"2026-10-06T13:50:11","slug":"openai-executive-flew-to-australia-to-apologise-over-medicare-hack-here-are-the-key-takeaways","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/918233\/","title":{"rendered":"OpenAI executive flew to Australia to apologise over Medicare hack. Here are the key takeaways"},"content":{"rendered":"<p class=\"paragraph_paragraph___QITb\">A top OpenAI executive who flew to Australia to mop up after the company&#8217;s Medicare statistics hack said he could not explain why Australians are among the world&#8217;s most distrustful of AI.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Chief strategy officer Jason Kwon made the comments to the ABC as he left a parliamentary inquiry into AI, in his first public appearance since the prime minister revealed the hack late last month.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Mr Kwon pledged to rebuild trust after the hack, while the company&#8217;s handling of its disclosure drew criticism from the federal government.<\/p>\n<p><img decoding=\"async\" alt=\"A man in a navy suit and tie climbs the stairs.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/10\/9f9b1d0aafa4fd7bc3c555f8b43e08a0.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Jason Kwon flew to Australia for the hearing. (ABC News: Simon Amery)<\/p>\n<p class=\"paragraph_paragraph___QITb\">After touting Australia&#8217;s adoption rate of OpenAI&#8217;s ChatGPT, Mr Kwon did not have an answer for why some polls show that a majority of the nation does not trust the technology, a higher proportion than in most other countries.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;I can&#8217;t explain the current sentiment; all we can do is continue to get better,&#8221; he said.<\/p>\n<p>OpenAI says it made changes to prevent future hacks<\/p>\n<p class=\"paragraph_paragraph___QITb\">Mr Kwon said OpenAI now alerts staff when its models use the internet in ways they should not during training.<\/p>\n<p class=\"paragraph_paragraph___QITb\">But he acknowledged OpenAI should have told the Australian government about the Medicare hack sooner, rather than waiting to establish more facts.<\/p>\n<p class=\"paragraph_paragraph___QITb\">He said the company identified the NSW Parks and Wildlife breach last week and reported it to the state government much sooner.<\/p>\n<p><img decoding=\"async\" alt=\"A man sits at the table speaking into a microwave.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/10\/aa5cc0663179ae138ee2c934931965d6.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Jason Kwon told the hearing the company has made changes to prevent future breaches. (ABC News: Simon Amery)<\/p>\n<p class=\"paragraph_paragraph___QITb\">Mr Kwon also added that chief executive Sam Altman had not known about it when he met Deputy Prime Minister Richard Marles on September 1, despite company staff having first found out about the hack several weeks prior.<\/p>\n<p class=\"paragraph_paragraph___QITb\">While in Australia, Mr Kwon will interview several people for OpenAI&#8217;s promised &#8220;taskforce&#8221; to help guide its own response to the hack, a spokesperson told the ABC this afternoon.<\/p>\n<p>Anthropic would have told Australia if it had done the hack<\/p>\n<p class=\"paragraph_paragraph___QITb\">Representatives of rival AI company Anthropic told the committee that it would have made a similar disclosure if it had discovered its technology had hacked another company.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The company also backed a proposal floated by the federal government&#8217;s Office of AI that would require AI developers to report serious safety incidents, saying its current reporting commitments were largely voluntary.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Anthropic representatives also said it was finalising a deal to let Australia&#8217;s AI Safety Institute independently test its models.<\/p>\n<p><img decoding=\"async\" alt=\"A close up of a man in a suit holding his glasses\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/10\/1c4d551e8070efe7c27380d77e808bdf.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">The Joint Select Committee hearing on artificial intelligence was held in Sydney today. (ABC News: Chris Taylor)<\/p>\n<p class=\"paragraph_paragraph___QITb\">Its international envoy, former US ambassador to Australia Jeff Bleich, told the committee that the company wants to train its AI in Australia.<\/p>\n<p class=\"paragraph_paragraph___QITb\">But he said Australia&#8217;s current copyright regime was an obstacle that needed to change, regardless of any licensing deals it might sign.<\/p>\n<p>&#8220;You can&#8217;t license the entire internet,&#8221;  he said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Anthropic has not publicly disclosed signing any licensing deals in Australia.<\/p>\n<p>Creatives and rights holders reject claims status quo isn&#8217;t working<\/p>\n<p class=\"paragraph_paragraph___QITb\">Groups representing musicians, writers and voice actors rejected calls to loosen copyright laws to attract AI investment, accusing the companies of taking their work without permission.<\/p>\n<p class=\"paragraph_paragraph___QITb\">ARIA chief executive Annabelle Herd warned that such a deal would threaten Australia&#8217;s music industry.<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2026-10-06\/openai-fronts-ai-inquiry\/107230434\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">All eyes on OpenAI at inquiry<\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">It had been pencilled in for a centrestage performance, tapping into a bit of Silicon Valley star power, but it&#8217;s a bruised OpenAI that&#8217;s set to limp into the Australian political spotlight today.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Australia&#8217;s artists will be the roadkill in the rush to this AI deal,&#8221; she told the committee.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The groups argued that AI companies could already seek permission and pay to use creative work under existing copyright law.<\/p>\n<p class=\"paragraph_paragraph___QITb\">They also said members were not just after payment but also control over whether AI companies would train on their work.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;The idea that payment is the only thing we&#8217;re haggling about is a step in the wrong direction,&#8221; Australian Writers&#8217; Guild executive director Claire Pullen said.<\/p>\n<p>Big tech&#8217;s old guard warns against drastic regulation<\/p>\n<p class=\"paragraph_paragraph___QITb\">Later in the day, both Google and Microsoft appeared before the committee urging a less catastrophic approach to regulating the technology.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Microsoft said Australia should build on its existing laws, including privacy and anti-discrimination protections, updating them where needed and adopting AI standards that work across borders.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Google also called for common industry standards and rules that work across borders, warning against duplication while saying AI was too important not to regulate.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The committee is set to have another hearing in Sydney tomorrow.<\/p>\n","protected":false},"excerpt":{"rendered":"A top OpenAI executive who flew to Australia to mop up after the company&#8217;s Medicare statistics hack said&hellip;\n","protected":false},"author":2,"featured_media":918234,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[256,254,255,64,63,14279,186432,8192,471536,71776,5044,105],"class_list":["post-918233","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-au","tag-australia","tag-data-breach","tag-jason-kwon","tag-medicare","tag-medicare-hack","tag-open-ai","tag-openai","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/918233","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=918233"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/918233\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/918234"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=918233"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=918233"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=918233"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}