New state AI laws allow companies to test AI applications for a year without regulatory interference

Ben Wodecki, Jr. Editor

March 27, 2024

1 Min Read
Utah State Capitol, Salt Lake City, Utah
Getty Images

Utah is the first state in the country to introduce legislation regulating the use of artificial intelligence.

Utah Gov. Spencer Cox signed into law the “Artificial Intelligence Amendments" which form the basis of the Artificial Intelligence Policy Act set to take effect on May 1.

The legislation establishes liability for companies using generative AI that violates state consumer protection laws if they fail to disclose they are using the technology.

Businesses found deceiving consumers with AI could face an administrative fine of up to $2,500 and/or civil penalties of up to $5,000.

Brian Sathianathan, co-founder of Iterate.ai, called the legislation a call to action for “policymakers, businesses and individuals to work together to create a future where AI is developed and used in a way that benefits everyone.”

“It's a reminder that with great power comes great responsibility and we must take ethical considerations in AI development seriously,” he said Under Utah’s new AI rules, an individual may be found guilty of a criminal offense if they commit it with the aid of generative AI or intentionally prompt an AI system to commit the offense.

Those whose work is considered a “regulated occupation” like medical professionals or teachers, are now required to disclose whether they interact with AI.

Related:California Issues Generative AI Tool Use Guidelines

The state’s Office of Artificial Intelligence Policy and Artificial Intelligence Learning Laboratory Program are also established under the legislation, tasked with examining and researching AI technologies to shape the state's regulatory framework.

About the Author(s)

Ben Wodecki

Jr. Editor

Ben Wodecki is the Jr. Editor of AI Business, covering a wide range of AI content. Ben joined the team in March 2021 as assistant editor and was promoted to Jr. Editor. He has written for The New Statesman, Intellectual Property Magazine, and The Telegraph India, among others. He holds an MSc in Digital Journalism from Middlesex University.

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