Following significant lobbying from major tech companies, California Governor Gavin Newsom (D-Calif.) has vetoed a bill designed to regulate AI, citing concerns that it could stifle innovation.
What Happened: Newsom made his decision at the eleventh hour, after the bill had been passed by the state legislature in late August.
The proposed legislation, known as SB 1047, would have imposed stringent rules on the development of powerful AI models, including the implementation of a kill switch to prevent potential harm.
On Sunday, in a letter to the state senate, Newsom defended his veto of the Safe and Secure Innovation for Frontier Artificial Intelligence Systems Act.
He expressed concern that the proposed framework could limit innovation beneficial to the public good, noting that California is home to 32 of the world’s leading AI companies.
“Let me be clear – I agree with the author – we cannot afford to wait for a major catastrophe to occur before taking action to protect the public,” he said in the letter, adding, “I do not agree, however, that to keep the public safe, we must settle for a solution that is not informed by an empirical trajectory analysis of Al systems and capabilities.”
“Ultimately, any framework for effectively regulating Al needs to keep pace with the technology itself,” Newsom stated.
Senator Scott Wiener (D-Calif.), the bill's author, called the veto a setback for those who support oversight of large corporations making key decisions that impact public safety and the planet’s future.
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Why It Matters: Major AI companies, including Alphabet Inc.’s GOOG GOOGL Google, ChatGPT-parent OpenAI, and Meta Platforms Inc. META, were against the bill.
They argued that premature regulation could hinder AI development and jeopardize California’s leading role in the technology’s advancement.
However, Tesla and SpaceX CEO Elon Musk publicly endorsed the SB 1047 AI safety bill, stating that it was a tough call but necessary for California.
AI startup Anthropic also supported the bill.
Interestingly, earlier in September, Newsom had signed three bills aimed at curbing the use of AI in creating misleading images or videos in political advertisements, indicating his willingness to regulate AI in certain contexts.
Image via Shutterstock
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