New York City, New York — New York City Mayor Zohran Mamdani said this week that his administration plans to shut down an artificial intelligence chatbot launched under former Mayor Eric Adams, citing both its cost and repeated failures as the city confronts a projected $12 billion budget gap.
Speaking at a press conference focused on the looming shortfall, Mamdani described the chatbot as “functionally unusable” and pointed to it as an example of wasteful spending inherited from the prior administration. The tool, released in late 2023, was designed to help business owners navigate city rules and regulations. However, investigations by The Markup and THE CITY found that the bot frequently provided incorrect guidance that could lead users to violate labor, housing, and consumer protection laws.
According to Mamdani, maintaining the chatbot cost the city roughly $500,000, a figure consistent with earlier reports that building the system’s foundation alone approached $600,000. While he acknowledged that eliminating the bot would not meaningfully close the budget gap on its own, Mamdani said it reflects a broader effort to scrutinize programs that delivered poor results despite significant expense.
The chatbot was part of the Adams administration’s MyCity digital services initiative, which aimed to modernize city government but drew criticism for its reliance on outside contractors. After initial reporting exposed the bot’s errors, city officials added disclaimers and restricted its use, though problems persisted.
A spokesperson for Mamdani confirmed that the administration intends to take the chatbot offline, though no specific timeline has been set.
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