California Governor Vetoes Landmark AI Regulation Bill

In a significant move for tech policy, California Governor Gavin Newsom has vetoed SB 1047, a controversial artificial intelligence regulation bill that would have imposed strict safety requirements on large-scale AI developers.

Key Details of the Vetoed Bill

  • Authored by: State Senator Scott Wiener
  • Would have required: AI companies to implement safety protocols preventing “critical harms”
  • Applicability threshold: Only affected models costing $100M+ to train or using 10^26 FLOPS (a computational benchmark)
  • Opposition included: Major tech firms (OpenAI, Meta), AI experts (Yann LeCun), and politicians (Rep. Ro Khanna)

Why Newsom Rejected the Legislation

In his official statement, Governor Newsom explained:

“While well-intentioned, SB 1047 fails to distinguish between high-risk AI applications and basic functions. The bill’s blanket approach would impose unnecessary burdens without effectively addressing genuine threats.”

Key concerns included:

  1. Lack of risk-based differentiation in regulation
  2. Potential stifling of innovation
  3. Overly broad application to all large systems

Political and Industry Reactions

Supporters of the Veto

  • Nancy Pelosi: Praised Newsom for “enabling small entrepreneurs and academia” (Tweet)
  • Fei-Fei Li (Stanford AI Lab): Previously warned the bill would “harm our budding AI ecosystem”

Critics of the Decision

  • Senator Wiener: Called it “a setback for AI safety oversight” (Statement)
  • Argued the debate advanced global AI safety discussions

California’s Alternative AI Approach

While rejecting SB 1047, Newsom has:

  • Signed 18 other AI-related bills in the past month
  • Assembled an expert advisory group including:
    • Fei-Fei Li (Stanford)
    • Tino Cuéllar (former California Supreme Court Justice)
    • Jennifer Tour Chayes (UC Berkeley)

This suggests California will pursue more targeted AI regulations rather than broad mandates.

The Bigger Picture

This veto highlights:

  • The ongoing tension between innovation and regulation in AI
  • California’s attempt to balance its tech leadership with public safety concerns
  • Growing global debate about appropriate AI governance frameworks

Industry observers will watch closely as California develops its alternative approach to AI oversight in coming months.


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