Dive Transient:
- A rising majority of small enterprise house owners are involved in regards to the impression that AI regulation might have on their group, in keeping with a survey by the U.S. Chamber of Commerce.
- Almost two-thirds (65%) of respondents have been apprehensive about compliance and litigation prices that would outcome from being topic to completely different state legal guidelines on privateness, AI and know-how, a rise of 14 share factors in contrast with a 2024 ballot, in keeping with a report on the findings launched Monday.
- “This yr we have discovered the best stage of concern amongst small enterprise with a patchwork of state laws that would inhibit adoption and development,” Jordan Crenshaw, senior vice chairman of the Chamber’s Know-how Engagement Middle, mentioned in a press release. “That’s why policymakers want to determine a single nationwide framework that permits these companies to thrive, as an alternative of stifling their success.”
Dive Perception:
Many states are proposing or implementing rules that might require companies to reveal their AI use to prospects, implement AI danger assessments, clarify to prospects how AI might have an effect on buyer interactions, and supply human oversight of methods that make consequential selections, in keeping with the report. Fewer than one in three respondents mentioned they have been effectively ready to adjust to such obligations.
Amongst different suggestions, the report referred to as for a nationwide AI framework that preempts complete state AI legal guidelines, “whereas preserving the flexibility of state attorneys normal to implement know-how impartial legal guidelines that … deal with particular harms like client safety, privateness, and discrimination legal guidelines the place acceptable.”
The findings come because the Trump administration is threatening to withhold federal AI funding from states with burdensome guidelines on the know-how.
An AI motion plan unveiled by the White Home final month calls on the Workplace of Administration and Price range to work with federal businesses which have AI-related discretionary funding packages to make sure they think about a state’s AI regulatory local weather when making funding selections.
“The Federal authorities shouldn’t enable AI-related Federal funding to be directed towards states with burdensome AI rules that waste these funds, however also needs to not intrude with states’ rights to go prudent legal guidelines that aren’t unduly restrictive to innovation,” the doc states.
In the meantime, President Donald Trump has gone additional than his personal plan, calling for a federal AI standard that “supersedes all states.”
As of June 27, a complete of 260 state measures related to AI have been launched within the 2025 legislative session, of which 22 have been handed, in keeping with an evaluation by the Brookings Establishment.
A Colorado AI statute handed in 2024 and set to enter impact subsequent yr stands out for its breadth and comprehensiveness, analysts say. Different states with AI statutes embody New York, Texas and California.
“There’s a storm cloud over this progress on the federal stage, and it’s unclear how this may have an effect on how states are addressing AI,” the Brookings report mentioned.