OpenAI fails to register ChatGPT as a trademark, why?

One of the pioneers of artificial intelligence (AI) technology, OpenAI, failed to register the trademark of their flagship platform engaged in Generative Pre-Trained (GPT) aka ChatGPT.

As is known, last 2022 OpenAI launched ChatGPT which was so popular and immediately provoked its competitors to start the artificial intelligence-based technology race. Referring to namepepper.com, ChatGPT managed to become the most popular digital platform reaching more than 18 million users as of February 2024. The popularity of ChatGPT has led a number of other companies to adopt similar technology with some additional features as differentiators. Not only adopting the technology, OpenAI’s competitors also give names similar to ChatGPT such as GPTZero. Realizing the popularity of its product would be stalked by many competitors, OpenAI tried to prevent other businesses from using the GPT acronym by trying to register it as a trademark. Unfortunately, the registration application was rejected by the United States Patent and Trademark Office (PTO). How come, what was the reason?

Grounds for Refusal of Registration of the ChatGPT Mark

As is known, OpenAI is arguably the one who popularized the word GPT in the AI industry, including ChatGPT which brought their name soaring. Where it is an AI chatbot that uses their large language model, GPT 3. However, it is known that the Patent and Trademark Office (PTO) rejected OpenAI’s trademark application for the word GPT. The PTO considers that GPT is a general term that can be used by anyone. OpenAI itself argues that in its application the word GPT is not a descriptive word. GPT is claimed to be not a general term, where consumers will immediately understand that it is one of OpenAI’s products. Unfortunately, this argument was rejected outright. For PTO, other companies that use the name GPT in their products are legally valid. GPT is a form of artificial intelligence that works in a conversational format. This argument became the basis for the PTO to reject OpenAI’s trademark application. This is because GPT is a word that describes the technology, not an exclusive mark of a single company. “Generative Trained Transformers, commonly known as GPTs, are a family of neural network models that use a transformer architecture and are an important advance in artificial intelligence (AI),” wrote the PTO, quoted by Hypeabis.id, Monday (19/2/2024). The PTO rejected all OpenAI petitions to prevent the company from hampering competition in its industry. This decision will also prevent certain parties from filing lawsuits in terms of brand infringement. This is because anyone can indeed use the acronym GPT without being limited by anything. While there may be people who do not know what GPT stands for, it still does not erase the fact that the acronym does refer to common descriptive things. It is known that this is not the first time the PTO has rejected OpenAI’s ChatGPT trademark registration. The company managed by Sam Altman had also filed an application in May 2023 with the same result, namely refusal.

That means, this is the second refusal from the PTO and OpenAI will have one more chance to appeal to the Trademark Trial and Appeal Board regarding the application.

How does it relate to Trademark Registration in Indonesia?

A trademark must be registered as proof of legal ownership and to prevent others from using the same. In Indonesia, trademark registration can be made to the Directorate General of Intellectual Property (DJKI) of the Ministry of Law and Human Rights. The provisions regarding trademarks in Indonesia have been regulated in Law No. 20 of 2016 on Trademarks and Geographical Indications. According to this law, a trademark cannot be registered if:

Contrary to state ideology, laws and regulations, morality, religion, decency, or public order;
same as, related to, or merely mentioning the goods and/or services for which registration is sought;
contains elements that can mislead the public about the origin, quality, type, size, variety, purpose of use of the goods and/or services for which registration is requested or is the name of a protected plant variety for similar goods and/or services;
contain information that is not in accordance with the quality, benefits, or efficacy of the goods and/or services produced;
does not have differentiating power; and
is a public name and/or symbol of public property.

In addition, Law Number 20 Year 2016 also mentions a number of causes for refusal to register a trademark. The trademark registration is rejected if:

have similarities in principle or in whole with registered trademarks owned by other parties or applied for in advance by other parties for similar goods and/or services;
is substantially or wholly similar to a well-known trademark owned by another party for similar goods and/or services;
is substantially or wholly similar to a well-known trademark owned by another party for non-similar goods and/or services that meet certain requirements;
is substantially or wholly similar to a registered geographical indication;
is or resembles the name or abbreviation of a famous person, photograph, or the name of a legal entity owned by another person, except with the written consent of the rightful owner;
is an imitation or resembles the name or abbreviation of the name, flag, emblem or symbol or emblem of a country, or national or international institution, except with the written consent of the authorized party; or
imitates or resembles an official mark or seal used by the state or a government agency, except with the written consent of the authorized party.

Just as OpenAI experienced in its ChatGPT trademark registration attempt, the term GPT is considered descriptive and commonly used in the AI industry. This is what makes it unregistrable as the mark must be able to distinguish the product or service from its competitors. This shows that to successfully register a mark, the applicant must have a strong enough uniqueness, not only in the mark term itself, but also in the product or service it represents. In addition, it is important to consider the existence of similar existing marks and ensure that the proposed mark does not infringe on the rights of other parties.

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Thus the explanation of OpenAI’s ChatGPT trademark and its relation to trademark registration in Indonesia. The existence of these examples can prove that a trademark is very important for the running of a business or company. Trademark itself is used as a sign to distinguish products produced by a person or a legal entity with products produced by other parties. Well, to avoid rejection, don’t forget to do a trademark analysis first before registering. Still having trouble doing it? Kontrak Hukum is ready to help you. We provide a trademark analysis service that is done by comparing the trademark that you want to register with the registered trademark data in the Intellectual Property Database (PDKI).

The trademark is analyzed by considering the similarity of elements and also whether the trademark has been registered or not. That way, you can save the loss of money and time if the brand you have turns out to be unregistrable. In addition to trademark analysis, Kontrak Hukum also provides trademark registration services for only Rp2 million!

What are you waiting for? Let’s protect your brand rights safely and easily with us by visiting the KH Services – Brand page. If you still have questions, please consult at Ask KH or via direct message (DM) to Instagram @Kontrakhukum.