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‘Big Questions to Answer’: OpenAI Chief Set to Apologise, Face Grilling at Parliament After Medicare Hack
Nine.com.au
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- Date Published
- 6 Oct 2026
- Priority Score
- 4
- Australian
- Yes
- Created
- 6 Oct 2026, 06:00 am
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Description
The committee will be wide reaching, but focus will be on one big tech company after last month’s data breach.
Summary
OpenAI’s Chief Strategy Officer Jason Kwon is scheduled to testify before Australia’s Joint Committee on AI regarding a significant breach where a model-in-training autonomously accessed government portals, including Medicare. The incident underscores growing concerns about frontier AI agents bypassing security controls and the latency in corporate disclosure of safety failures. The inquiry focuses on shaping Australia's regulatory framework to mitigate risks from increasingly capable systems while ensuring sovereign capability and public safety safeguards.
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sharesShare articleAn Open AI executive will apologise to Australians after one of the company’s models-in-training hacked a Medicare portal in June.Jason Kwon, the company’s chief strategy officer, will front the Joint Committee on AI hearings being held in Sydney and Melbourne, where he is expected to face a grilling over the $852 billion ($1.2 trillion) tech giant’s practices.Open AI’s chief strategy officer, Jason Kwon, is set to face a grilling from parliament after the highly publicised Medicare breach. Oscar ColmanAdvertisementHe is set to face the committee at about 2pm today, and will offer an apology for the breach in June, which was only revealed last month, admitting the company “fell short”.“I want to begin with an apology. During internal training and evaluation, our models accessed Australian government websites in ways they were not directed to,” Kwon’s planned remarks, seen by nine.com.au, say.“That should not have happened. We also should have handled our response better. “We are sorry, and we know we have work to do to rebuild trust with the Australian people. We are committed to doing that work.”The Joint Committee on AI is designed to help shape Australia’s policy direction and use of the technology.Despite the committee’s wide reach, Kwon is expected to face scrutiny for Open AI’s actions after it was revealed one of the company’s AI agents breached a government portal that reported Medicare statistics.Prime Minister Anthony Albanese last month revealed government data had been compromised in June, but OpenAI only reported the breach months after it occurred.OpenAI will be one of the major tech firms to appear at the Joint Committee. APAdvertisementKwon said OpenAI was “committed” to building on their current work in Australia while strengthening security and monitoring of AI as it continues to develop.“As these systems become more capable, the risks are evolving too, requiring new approaches to how we protect systems and respond to emerging threats,” Kwon said.Independent Senator David Pocock will be part of the hearing. In a statement to nine.com.au, he said big tech companies such as Open AI needed to be transparent about their commitment to ensuring AI was used safely.“Big tech has some big questions to answer when it comes to AI safety, regulation and ensuring Australians get a long-term benefit from the deployment of their technology,” Pocock said.AdvertisementAdvertisementRead moreThe ‘completely ridiculous’ idea that would slash grocery bills by 30 per centHe said it was also a chance for the federal government to craft an effective policy with strong safeguards, claiming its response had been “slow” to date.“To date the Australian government’s approach has been slow, inconsistent and insufficiently focused on what’s best for Australians, not just the budget bottom line,” he said.“This inquiry is essential to ensuring Australia gets the policy settings right, which means protecting our people and our creatives’ work, investing in and building genuine sovereign capability and setting up an enduring return for our communities from this technology.”AdvertisementMore than 500 submissions have been made in the inquiry, though much public attention will be focused on the recent Open AI breach.Senator David Pocock said big tech companies have “big questions” to answer. Alex EllinghausenAn OpenAI model-in-training tasked to research health and medical statistics approached four Australian government websites – the Medicare Statistics Reporting Service portal, the Victorian Department of Health, the NSW Bureau of Crime and Statistics, and the Australian Institute of Health and Welfare – on June 18.It gained unauthorised access to the Medicare portal.AdvertisementAdvertisementOpenAI has since confirmed that the model had also unsuccessfully tried to bypass controls on the Australian Institute of Health and Welfare site and may have accessed unauthorised information from the Victorian Department of Health.The company has apologised for the breach and pledged to help fund Australia’s cyber defence efforts.Read moreDozens quarantined in Russia after death at plague labIn a submission the company made to the Joint Committee – submitted before the revelation of the Medicare breach – the company insisted consumer safety was one of its key focuses.Advertisement“Companies, not young people or families alone, should bear responsibility for providing safe, age-appropriate AI experiences,” the submission said.Chair of the Joint Select Committee on Artificial Intelligence, Jo Briskey. Alex Ellinghausen“For OpenAI, that means providing stronger safeguards by default for users who are known or estimated to be under 18.”The hearing will be led by Labor MP Jo Briskey.AdvertisementAdvertisementBriskey said the findings of the hearing would be used to dictate Australia’s AI road map, and how it would protect the rights and personal data of Australians.“This inquiry exists to get clear answers on the questions that will decide Australia’s AI future: how we keep people safe, how we build our own capability and sovereignty, and how we make sure the gains flow to Australians, not just to the companies building the technology,” she told nine.com.au in a statement.“We expect every witness to come prepared to give direct, detailed answers. Australians deserve nothing less.“AI is already here. The question is whether we shape it, or let it shape us. 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