Silicon Valley Reps: SB 1047’s AI regulations will turn off innovation, cause companies to drop out of California
If SB 1047 passes, California could become as unattractive to AI innovators as Europe is, wrote U.S. Representative Zoe Lofgren (D-San Jose) in a letter to State Senator Scott Wiener. Lofgren pointed out that the bill makes companies comply with guidelines that haven’t yet been developed. In a statement on his official website, U.S. Representative Ro Khanna (D-Santa Clara) warned that SB 1047 won’t address legitimate AI concerns, but instead punish entrepreneurs.
From Zoe Lofgren:
The science surrounding AI safety is still in its infancy. The current state of the technical solutions that would underpin implementation of SB 1047, including standards, benchmarks, and evaluations, is significantly underdeveloped. The bill requires firms to adhere to voluntary guidance issued by industry and the National Institute of Standards and Technology, which does not yet exist. For example, even though we do not yet have the standardized evaluations necessary for a developer to confirm with confidence that an AI system could cause a “critical harm,” the bill bases its liability provisions upon such hypothetical guidance. Such premature requirements based on underdeveloped science call into question from the outset the efficacy of the bill in achieving its goals of protecting public safety.
In short, I’m very concerned about the effect this legislation could have on the innovation economy of California without any clear benefit for the public. High tech innovation is the economic engine that drives California’s prosperity. This is particularly the case in the Bay area. There is a real risk that companies will decide to incorporate in other jurisdictions or simply not release models in California. This is not entirely speculative. As an example, Meta recently decided not to release advanced multimodal AI systems in Europe due to their precautionary rules.
Read Zoe Lofgren’s letter to Scott Wiener here.
From Ro Khanna:
As the representative from Silicon Valley, I have been pushing for thoughtful regulation around artificial intelligence to protect workers and address potential risks including misinformation, deepfakes, and an increase in wealth disparity. I agree wholeheartedly that there is a need for legislation and appreciate the intention behind SB 1047 but am concerned that the bill as currently written would be ineffective, punishing of individual entrepreneurs and small businesses, and hurt California’s spirit of innovation.
There is a path forward that tackles the very real risks we face without stifling innovation. We should start by focusing on the most immediate issue at hand which is the clear labeling and marketing of AI-generated products. The second thing is we need much strong privacy provisions that can make it harder to proliferate and target misinformation. And third we need serious antitrust provisions, so we aren’t beholden to just one or two platforms for information. This is a pivotal moment for lawmakers to establish guardrails for the new digital economy and ensure that everyone is protected and included. Any legislation under consideration must be up to that challenge.
Read Ro Khanna’s statement here.
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