California imposes new AI regulations on companies with ‘first-of-its-kind’ executive order signed by Newsom

AI For Business



California will require artificial intelligence companies to implement safety and privacy guardrails under a new order from Gov. Gavin Newsom.

The executive order, which the governor called “the first of its kind,” was signed Monday.

“California has always been the birthplace of innovation, but we also understand the flip side of that: When innovation falls into the wrong hands, it can be misused in ways that put people at risk,” Newsom said in a statement after signing the executive order.

Newsom said the order was made in response to: Trump administration moves Limit state regulation of AI and adopt a single approach nationwide, following lobbying by big tech companies.

“While other companies in Washington are crafting policy and writing contracts in the shadow of abuse, we are focused on doing this the right way,” Newsom said.

Under the order, companies wishing to do business with the government must certify that their AI systems include safeguards against illegal content, harmful bias, and potential civil rights violations.

The order also directs state agencies to expand their use of vetted AI tools to improve public services.

“California is leading the way in AI, and we will use every tool at our disposal to ensure that companies protect people’s rights, not exploit them or harm them,” Newsom said.

Earlier this month, the White House released a national framework outlining how Congress would address AI concerns, endorsing a “light touch” approach to regulation.



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