California is progressing toward regulating AI with Senate Bill 1047 (SB 1047), designed to manage the development and deployment of advanced AI technology within the state. This bill has sparked national debate, with polarised reactions from experts and AI firms, many of which are based in California.
Key Provisions of SB 1047
SB 1047, introduced by Democratic State Senator Scott Weiner in February 2024, seeks to establish safety protocols for AI models that cost over $100 million to train or require significant computing power. The bill mandates pre-launch safety tests to address behavioural risks, including the implementation of a "kill switch" to halt projects facing unforeseen threats. Developers must also maintain a risk response plan throughout the model's lifecycle and for five years after.
Reporting and Penalties
Developers would be required to report safety incidents to California's Attorney General, facing fines for violations: up to $50,000 for a first-time offence and $100,000 for subsequent violations. Additionally, third-party auditors must annually review the safety practices implemented by AI labs.
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Opposition and Amendments
The bill has met with strong opposition from major tech companies, such as Google, Meta, and OpenAI, who argue that it could stifle innovation and that such regulation should be handled at the federal level. Dr Fei-Fei Li, a prominent AI figure, expressed concerns about the bill's impact on disadvantaged sectors like academia and public institutions. However, the bill has undergone amendments, including the removal of criminal penalties and the creation of a state regulatory body, to address these criticisms.
Support from Influential Figures
Despite the opposition, SB 1047 has garnered support from notable figures, including Yoshua Bengio, one of the "godfathers of AI." Recently, Tesla founder Elon Musk and Ethereum co-founder Vitalik Buterin have also endorsed the bill. Musk, a long-time advocate for AI regulation, stated that while the bill might upset some, it is a necessary step for public safety. Buterin supported the bill's focus on preventing AI models with "world-threatening capabilities" from entering the market, and he praised its approach to imposing fines only when developers fail to take reasonable safety measures.
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Implications for the Tech Industry
Musk's and Buterin’s endorsements come at a critical time as SB 1047 is set to face a vote in the full State Assembly. If it passes, the bill will return to the Senate for a final vote due to recent amendments. With the Senate having previously passed the bill with a 32 to 1 vote, its chances of becoming law are significant, potentially leading to Governor Gavin Newsom's desk for approval by September 30.
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