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00:00From your perspective, is it better to have technology policy from a state level on AI
00:04or federal? Well, if you look at all the introduced state laws, there are over a thousand
00:11apparently that are out there floating. In addition to the ones that have been enacted,
00:16they're just so diverse. There are like six or seven buckets of the type of state law,
00:21including disclosure mandates, algorithmic discrimination, notice and bias requirements.
00:26So you have this matrix of 50 states times six or seven buckets, and that's a patchwork.
00:33What you see also is a race to the bottom. So the most conservative rule might rule them all.
00:40And so really it is a matter of time and effort for small and large companies to know what these
00:49policies are. The discussion mimics a lot of the privacy debates that we had 10 years ago and still
00:56do. But really, it's difficult to see innovation move forward when you have all these state laws.
01:05Sarah, the mechanism of an EO is not that surprising if you look at the prior initiatives of this White
01:12House. In November, a big push by the White House on Congress to include a federal moratorium on state
01:20AI laws in a particular piece of legislation, that effort not successful. Explain why that was important,
01:26please.
01:27Sure. So you're seeing this post today because four days ago, apparently the state law moratorium was
01:34dropped from the NDAA defense spending bill. I think Representative Scalise mentioned that it wouldn't be
01:41included. There was a push in November to include it in the NDAA. And that was after in July,
01:48there was a push to include it in the spending bill, the BBB, big, beautiful bill. And so there
01:56has been discussion, a lot of buzz on the Hill, how to include this moratorium in legislation. But
02:03you know, Congress thought it's not the right vehicle to include a moratorium. And so then you see
02:09this EO. The draft proposal was floated three weeks ago. It's called Eliminating State Law
02:15Obstruction of National AI Policy. You can read it. It includes a litigation task force,
02:22evaluation of state laws, restriction of funding, and also involves Commerce Department, the FCC,
02:30FTC, DOJ. Yeah.
02:33And so that was the draft. We don't know if all that was in, is in the actual, but they floated it
02:40for review. Sarah, I want to push it forward a little bit of what actually is necessary,
02:45because it's all very well and good saying we don't want it from a state level. But many would
02:49harp back to what happened with social media, where ultimately the big companies were left to regulate
02:53themselves because no federal policy was ever enacted. Do you have optimism that there will be
02:58some rules of the road, some guardrails from a federal perspective, or will it just be pushed back
03:02on a state level? You know, it's hard to say about the harms of technology, because yes,
03:09there are harms, but who can really know what will be the really emergent or difficult harms
03:16out of thousands of possibilities? You know, you don't want to stop all of them and all innovation.
03:23And so, you know, is government the right venue to discover that? Really, you see it through litigation.
03:30And in Europe, they've taken the approach, well, let's do blanket regulation. And, you know,
03:36that hasn't turned out very well. As you can see, people are pushing back against EU regulations
03:42right now. So it really is a matter of perspective. The Biden AI executive order was rolled back,
03:51and that is a perspective that's more precautionary. And so the Trump EO is taking the other approach,
03:58saying we need light touch regulation. So I think and compare that with China. I don't think we hear
04:08about regulation from for AI there. Right. And so that's the that's the comparison.
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