California Governor Gavin Newsom vetoed a contentious AI safety bill. This has fired up a hotly contested debate in the tech industry. Many tech leaders said that the bill would stifle innovation and push AI companies out of the state.
Newsome justified his decision by saying that the bill used really strict regulations even for the most mundane AI application. He further noted that the bill makes no distinction between high-risk and simpler AI applications.
Newsom emphasized the need for a more nuanced regulatory approach. He urged the need to work with AI specialists to build "workable guardrails” instead of putting stringent regulations for AI.
He advocated for regulations that stem from empirical evidence and the scientific analysis of AI systems. Newsome believes that will help towards safer technological developments. He also directed the state agencies to expand their assessment of potential catastrophic risks of AI applications.
SB 1047 was California's ambitious attempt to regulate the burgeoning AI industry. The bill primarily targeted AI developers, particularly those making significant investments in AI model creation.
The legislation mandated that developers who spend over US$100 million on AI models must adhere to rigorous safety testing protocols. This measure was designed to ensure that AI systems are only safe for deployment and also less susceptible to misuse. Read more
Generative technology that generates texts, images, and videos based on prompts is trending along with the fear of its societal implications.
Senator Scott Wiener, author of the bill says California risks becoming a Wild West for AI technologies if no legislation is passed. He condemned Newsom’s decision saying it is one step backward for public safety. He further noted that Newsom’s decision leaves the powerful AI companies with no binding restrictions whatsoever. This is alarming for the future of AI in the state.
Governor Newsom signed another piece of legislation that orders the state to study risks posed on California’s infrastructure by generative AI development.
The state has already started conducting risk analyses specifically on energy-related infrastructure. It also indicated plans to include water and communications infrastructure in the analyses next year.
Asserting a necessity for "timely action on regulation of AI," Newsom expressed the hope for cooperation with the legislature in future sessions. Efforts in Congress to organize a single federal framework for national AI safeguards have already stalled.
Newsom voiced the need for a more California-centric approach to AI regulation, assuming that federal legislation might not come through.
The veto generated mixed reactions. A representative industry group, the Chamber of Progress which lobbies and talks on behalf of the US technology about its interests, praised the move. "California's tech economy is built on competition and innovation," it said.
Contrary to that, big firms like Google, Microsoft, and Meta expressed deep concern over the implications of the proposed regulations. Notably, Tesla chief Elon Musk spoke out for more stringent oversight indicating a split in industry opinions.