Utah has made history as the first state in the United States to implement legislation regulating artificial intelligence. Governor Spencer Cox recently signed the “Artificial Intelligence Amendments” into law, forming the foundation of the Artificial Intelligence Policy Act, which is scheduled to take effect on May 1. This groundbreaking legislation introduces liability for companies utilizing generative AI when it contravenes state consumer protection laws, particularly if they fail to disclose their use of such technology.
Under these new regulations, businesses that mislead consumers through the deployment of AI could face significant consequences, including administrative fines of up to $2,500 and civil penalties reaching as high as $5,000. Brian Sathianathan, co-founder of Iterate.ai, highlighted the importance of this legislation as a collaborative effort among policymakers, businesses, and individuals to foster an environment where AI is developed and employed for the collective benefit of society. He emphasized that the new laws serve as a reminder that “with great power comes great responsibility,” urging all stakeholders to consider ethical implications in AI development seriously.
The legislation also establishes specific legal parameters concerning individual accountability. Under Utah’s new AI regulations, individuals can be found guilty of a criminal offense if they commit acts using generative AI or deliberately encourage an AI system to do so. Additionally, those in "regulated occupations," such as medical professionals and educators, are now mandated to disclose their interactions with AI technology, ensuring transparency in these critical fields.
In an effort to further enhance the understanding and governance of AI, the legislation creates the Office of Artificial Intelligence Policy and the Artificial Intelligence Learning Laboratory Program. These entities are tasked with evaluating and researching AI technologies to develop a comprehensive regulatory framework that will guide Utah's approach to artificial intelligence.
This pioneering initiative positions Utah at the forefront of AI governance, setting a precedent for other states to consider similar measures that prioritize consumer protection and ethical AI practices.