California Governor Gavin Newsom has vetoed S.B. 1047, a bill that would have introduced stringent AI regulations and extensive compliance burdens on companies developing large-scale AI models. The Information Technology and Innovation Foundation (ITIF), a prominent science and technology policy think tank, responded with a statement from Vice President Daniel Castro.
"Governor Newsom's rejection of the proposed AI regulation bill is the right decision for California's digital economy," Castro stated. He emphasized that California, as the global epicenter of AI innovation, avoided a potentially devastating blow to its tech sector by rejecting the bill.
Castro noted that the bill's proposed safety measures lacked an evidence-based foundation and seemed disconnected from ongoing discussions in industry and academia about AI safety. "Rushing to regulate such a complex and dynamic field would have been a grave error, one that California has prudently chosen to avoid at this time," he added.
Earlier this month, Governor Newsom signed legislation addressing specific AI concerns such as deepfakes and digital likenesses. According to Castro, this type of targeted legislation is more appropriate than broad regulations for underlying technology.
However, Castro disagreed with Governor Newsom's suggestion that a "California-only approach may well be warranted." He argued that rules governing the AI economy should not be determined by any single state but should be decided at the federal level by Congress. "While California has avoided this pitfall today, it may not show the same restraint next time," he warned.
One significant threat to U.S. leadership in AI is the potential emergence of conflicting state laws. Such scenarios could entangle U.S. AI firms in complex regulations, impeding American innovation while global competitors advance unencumbered.
To safeguard America's leadership in AI and prevent similar legislative battles, ITIF urges Congress to act promptly to preempt future state-level legislative actions on AI.
ITIF’s Center for Data Innovation has written on how S.B. 1047 would hinder U.S. AI innovation; their article can be read here.
Contact: Nicole Hinojosa
