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AI Regulation

How governments are trying to govern AI

The Race to Regulate

Governments worldwide are scrambling to create rules for AI. It's a delicate balance: regulate too little, and AI causes harm; regulate too much, and you stifle innovation.

Fast-Moving Target

AI is advancing faster than regulators can keep up. Laws written today may be obsolete before they take effect.

EU AI Act

The first comprehensive AI law (passed 2024):

Risk-Based Approach

  • Unacceptable risk — Banned (social scoring, manipulative AI)
  • High risk — Strict requirements (healthcare, hiring, law enforcement)
  • Limited risk — Transparency requirements (chatbots must disclose they're AI)
  • Minimal risk — No restrictions

Key Requirements

  • Risk assessments for high-risk AI
  • Human oversight requirements
  • Transparency about AI decision-making
  • Foundation model rules for GPT-like systems

United States

  • No comprehensive federal law (yet)
  • Biden AI Executive Order — Reporting requirements for big models
  • State laws — California, Colorado leading
  • Sector-specific — FDA for medical AI, FTC for consumer protection

Other Countries

  • UK — Sector-by-sector approach, "pro-innovation"
  • China — Strict generative AI rules, algorithmic requirements
  • Canada — AIDA bill proposed
  • Global — UNESCO AI ethics recommendations

What's Being Regulated

  • Transparency — Disclosing AI use and capabilities
  • Discrimination — Preventing biased AI decisions
  • Safety — Testing requirements for powerful AI
  • Copyright — AI training on copyrighted data
  • Deepfakes — Labeling and disclosure requirements

Debates

  • Innovation vs. safety — How much restriction is too much?
  • Global coordination — Companies can move to less regulated jurisdictions
  • Definition challenges — What exactly counts as "AI"?
  • Enforcement — How to monitor AI systems at scale?

Summary

  • • EU AI Act is the first comprehensive AI law
  • • US has executive orders and state laws, no federal framework
  • • Key areas: transparency, bias, safety, copyright
  • • Balancing innovation and protection remains challenging