Tech giants clash over California AI legislation

Tech giants Meta and Google oppose the bill, claiming it unfairly targets developers and may stifle innovation, potentially prompting companies to leave California.

AI,water

California lawmakers are poised to vote on groundbreaking legislation aimed at regulating AI to prevent potential catastrophic risks, such as manipulating the state’s electric grid or aiding in the creation of chemical weapons. Spearheaded by Democratic state Sen. Scott Wiener, the bill targets AI systems with immense computing power, setting safety standards that apply only to models costing over $100 million to train.

Tech giants like Meta (Facebook) and Google strongly oppose the bill, arguing that it unfairly targets developers rather than those who misuse AI for harmful purposes. They contend that such regulations could stifle innovation and drive tech companies away from California, potentially fracturing the regulatory landscape.

While highlighting California’s role as a leader in AI adoption, Governor Gavin Newsom has not publicly endorsed the bill. His administration is concurrently exploring rules to combat AI discrimination in employment and housing, underscoring the dual challenges of promoting AI innovation while safeguarding against its misuse.

The proposed legislation has garnered support from prominent AI researchers and would establish a new state agency to oversee AI development practices and enforce compliance. Proponents argue that California must act swiftly to avoid repeating past regulatory oversights in the social media sector, despite concerns over regulatory overreach and its potential economic impact.