The local unit of the digital identity project World said the National Privacy Commission (NPC)’s cease and desist order (CDO) against Tools for Humanity (TFH) – the company co-founded by Sam Altman of OpenAI and developer of the World project – is a setback for responsible digital innovation and a surprising reversal after the company completed a year-long compliance process while making significant, legitimate investments in the country that began long before the technology was made available to Filipinos.
The NPC earlier ordered TFH to stop its operations after saying it found violations, including invalid consent and excessive collection of data.
The company said the decision, if not reversed, could deprive millions of Filipinos of technology designed to protect them from scams, identity theft and AI-driven fraud.
Before launching operations, World’s local team underwent extensive regulatory review, including participation in the Department of Information and Communications Technology (DICT)’s Sandbox Program, formal registration with the NPC, and consultations with leading data privacy experts and government agencies.
World said the sudden shift in the NPC’s position following a change in its leadership is ‘alarming,’ particularly since World in the Philippines has been actively working with agencies such as the DICT and the Cybercrime Investigation and Coordinating Center (CICC) to explore solutions to AI-related risks.
‘This sudden change in interpretation undermines the certainty that legitimate investors rely on when working with Philippine regulators. All these steps were done transparently and in accordance with the Data Privacy Act of 2012,’ said Ryuji Wolf, a local operator representing World in the Philippines.
‘The order comes as a surprise given we worked closely with regulators to ensure that our technology not only meets but exceeds the country’s data protection requirements,’ Wolf added.
World’s proof of human system verifies that a person is human without collecting personal information such as name, address, birthday, or phone number. All biometric images are anonymously processed locally and deleted within seconds. ‘Our system does not identify individuals. It simply verifies that they are unique humans, not bots or AI accounts,’ Wolf said.
‘We don’t store, sell, or purchase biometric data.’ He said that World would file a motion for reconsideration with the NPC and would avail itself of all available remedies.
Despite this setback, Wolf said ‘World remains committed to working transparently with regulators to clarify the system’s design and demonstrate its full adherence to Philippine law.’