Gavin Newsom's California Wants To Regulate AI, But It's Facing Stiff Opposition From Both Big Tech As Well As Nancy Pelosi And Other Democrats: Here's Why

California lawmakers are poised to vote on a bill regulating AI development, despite significant opposition from major tech companies.

What Happened: California legislators are expected to vote this week on SB 1047, a bill aimed at regulating AI development and deployment in the state, reported Reuters.

If approved by the end of the legislative session on Aug. 31, the bill would move to Governor Gavin Newsom, who must sign or veto it by Sept. 30.

What The Bill Says

The bill, introduced by Senator Scott Wiener (D-Calif.), mandates safety testing for advanced AI models costing over $100 million to develop or requiring significant computing power.

The bill also requires developers to include a “kill switch” to shut down AI models if they malfunction. The state attorney general would have the authority to sue non-compliant developers, especially if the AI poses a threat to critical systems like the power grid.

Additionally, third-party auditors would be hired to assess safety practices, and whistleblowers would receive protections.

See Also: Mark Zuckerberg Explains Why Facebook Beat Google, Microsoft, And Yahoo Who Were ‘Fumbling Around:’ ‘We Were Like A Ragtag Group Of Children’

Pelosi Calls California AI Bill ‘Ill Informed'

Despite passing the state Senate and the Assembly appropriations committee, the bill faces opposition from several California Congressional Democrats, including Rep. Nancy Pelosi (D-Calif.), Rep. Ro Khanna (D-Calif.), and Rep. Zoe Lofgren (D-Calif.).

Pelosi criticized the bill as potentially harmful and called it "ill informed," arguing it could drive developers out of the state and threaten open-source AI models.

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"At this time, the California legislature is considering SB 1047.  The view of many of us in Congress is that SB 1047 is well-intentioned but ill-informed.  Zoe Lofgren, the top Democrat on the Committee of Jurisdiction, Science, Space and Technology, has expressed serious concerns to the lead author, Senator Scott Wiener."

Big Tech Doesn't Like It, Either

Tech giants like Alphabet Inc.'s GOOG GOOGL Google and Meta Platforms Inc. META have also expressed concerns.

Meta's chief scientist, Yann LeCun, had a rather strong reaction to the California AI bill. "California bill SB1047 was drafted by this apocalyptic cult guru disguising as an academic think-tank director," he said.

OpenAI has argued that AI regulation should be handled at the federal level, citing the bill’s potential to create an uncertain legal environment, the report added.

Why It Matters: The opposition to SB 1047 is not new. Back in May, LeCun argued that it was too early to regulate AI, suggesting that the technology is not yet a threat. This sentiment was echoed by Elon Musk, who believes regulation is inevitable but premature.

In July, tech giants Meta and Google criticized the bill, claiming it would make the AI ecosystem “less safe” by imposing stringent safety measures. They argued that regulations should target malicious actors rather than developers. Meta’s chief AI scientist even called the author of the bill an "apocalyptic cult guru."

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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