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California Enacts AI Safeguards Amid Growing Concerns Over Deepfake Misuse

California Governor Gavin Newsom signed a series of landmark artificial intelligence bills into law last week, signaling the state’s latest efforts to regulate the burgeoning technology, particularly in response to the misuse of sexually explicit deepfakes. The legislation is aimed at mitigating the risks posed by AI-generated content, as concerns grow over the technology's potential to manipulate images, videos, and voices in ways that could cause significant harm.

The new measures come at a time when deepfakes – digitally altered media that can replicate real people’s likeness – are proliferating, raising alarm about their potential to deceive, defame, and harass individuals. The trio of bills signed by Newsom seeks to address these issues head-on, establishing legal frameworks and mandates designed to hold AI developers and social media companies accountable.

"We’re in an era where digital tools like AI have immense capabilities, but they can also be abused against other people," Newsom said in a statement. "We’re stepping up to protect Californians."

Tackling Deepfake Exploitation
Among the key pieces of legislation is SB 926, which explicitly criminalizes the creation and distribution of sexually explicit deepfakes that appear convincingly real and cause the individual depicted to experience "serious emotional distress." Violators could face severe penalties under the new law, marking a significant step in deterring such digital exploitation.

SB 981 requires social media platforms to establish a streamlined process for users to report sexually explicit deepfakes of themselves. Under this bill, platforms must promptly investigate and temporarily block flagged content while the investigation is ongoing. This provision is aimed at curbing the rapid dissemination of harmful deepfakes that can tarnish reputations within moments of being posted online.

The third law, SB 942, focuses on transparency by mandating that AI-generated content carry a clear disclosure. The law seeks to help users more easily identify AI-altered images or videos, ensuring that the public can discern between real and AI-generated content, thereby reducing the likelihood of individuals being misled by sophisticated forgeries.

A Hub of AI Innovation – and Regulation
California, home to 32 of "the world’s 50 leading AI companies," according to Newsom’s office, is a global center for artificial intelligence research and development. The Golden State’s pioneering role in tech makes it a natural leader in addressing the ethical and legal challenges posed by AI, and these bills are seen as the latest effort to establish guardrails around this rapidly evolving industry.

Newsom signed two other AI-related bills last week aimed at protecting actors and performers from having their names, images, and likenesses replicated by artificial intelligence without authorization. These laws were crafted in response to mounting pressure from Hollywood figures, many of whom fear that AI could be used to exploit their identities without consent.

Hollywood’s Fight for Safeguards
A growing chorus of Hollywood stars and entertainment industry leaders has spoken out against what they perceive as insufficient protections against AI-generated media. Taylor Swift, one of the world’s most high-profile entertainers, recently voiced her concerns about the technology’s potential to deceive. During her endorsement of Vice President Kamala Harris earlier this month, Swift cited an instance where former President Donald Trump circulated fake images of her and her fans, falsely claiming her support.

Fran Drescher, president of the Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA), applauded Newsom’s actions, noting that the new laws are crucial for ensuring that performers' identities are not misused by artificial intelligence.

"This is a significant win for actors and public figures whose images, voices, and likenesses can now be better protected from digital theft," Drescher said in a statement following the signing of the bills.

Broader AI Regulation on the Horizon
While these bills mark important steps in curbing AI misuse, a broader AI regulation known as the Safe and Secure Innovation for Frontier Artificial Intelligence Models Act (SB-1047) remains in limbo. The bill, passed by the California state legislature last month, would impose more comprehensive regulations on AI development, specifically targeting frontier models that push the boundaries of what artificial intelligence can achieve.

Governor Newsom has until September 30 to sign or veto that bill, which has divided lawmakers, AI researchers, and tech companies alike. Supporters argue that the legislation is essential to putting guardrails in place before AI technology advances further, while critics warn that over-regulation could stifle innovation and economic growth in California’s AI sector.

Silicon Valley's Stance
Silicon Valley, however, is particularly concerned about the potential chilling effects of the new legislation. AI startups and major technology firms worry that overly stringent laws could hinder the development of cutting-edge AI systems and limit the state's competitive edge in this rapidly growing field.

However, proponents of the legislation argue that responsible AI development must balance innovation with accountability. Lawmakers advocating for the act emphasize the need for protective measures to prevent AI from being weaponized, whether through malicious deepfakes, algorithmic biases, or misuse of personal data.

When asked about the legislation earlier this week, Newsom remained non-committal, stating only that the bill "will be evaluated on its merits." The governor, who has historically been cautious about imposing regulations that could curtail tech sector growth, faces mounting pressure from both sides of the debate.

The Path Forward
California’s new AI laws reflect a growing consensus among lawmakers and citizens alike that AI needs guardrails, particularly as the technology becomes more embedded in everyday life. Although the debate over broader regulations rages on, the bills signed this week represent a decisive move to protect individuals from the most harmful applications of AI-generated media.

As deepfakes and other AI technologies become more advanced, policymakers will likely continue grappling with how to balance the promises of AI with the risks it poses. With California leading the charge, the rest of the country – and the world – will be watching closely to see how these regulations evolve in the coming months and years.

About the Author

John K. Waters is the editor in chief of a number of Converge360.com sites, with a focus on high-end development, AI and future tech. He's been writing about cutting-edge technologies and culture of Silicon Valley for more than two decades, and he's written more than a dozen books. He also co-scripted the documentary film Silicon Valley: A 100 Year Renaissance, which aired on PBS.  He can be reached at jwaters@converge360.com.

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