Meta Investigated, California AI Bill Exempts Under $500M

California lawmakers are advancing AI regulation with a new safety bill, SB 53, that mandates transparency in AI safety testing for companies. Governor Gavin Newsom is expected to decide on the bill, which includes exemptions for companies earning under $500 million annually, a change from a stricter version he vetoed last year. Meanwhile, the Federal Trade Commission (FTC) is investigating major AI firms like Meta regarding child safety on their platforms, while Medicare is piloting an AI program for treatment authorization, sparking concerns about potential care denials. In the economic sphere, the stock market is experiencing a boom fueled by AI enthusiasm, though a recent study indicates most organizations are not yet seeing returns on generative AI investments. The impact of AI on the job market is also a growing concern, with economists noting that AI tools like ChatGPT are making it harder for recent graduates to find entry-level positions, and automation is replacing traditional roles in sectors like oilfields. In education, experts emphasize the need to teach students how to leverage AI for advanced tasks rather than just interface use, and computer science education is adapting to integrate AI concepts. The game development industry sees AI as a tool to reduce burnout and enhance creativity, while live theatre is experiencing a resurgence, highlighting the value of human connection in an increasingly automated world. Cloudflare has launched a system to score the risk of unapproved AI applications, addressing 'Shadow AI' concerns.

Key Takeaways

• California has passed a new AI safety bill, SB 53, requiring transparency in AI safety testing, with a decision pending from Governor Gavin Newsom.
• The bill includes less stringent disclosure requirements for companies with annual revenues below $500 million.
• The FTC is investigating AI companies like Meta over child safety concerns, and Medicare is piloting an AI program for treatment authorization.
• AI's impact on the job market is evident, with AI tools affecting entry-level positions and automation replacing roles in industries like oilfields.
• The stock market is seeing significant gains driven by AI, but a study suggests 95% of organizations are not yet realizing returns on generative AI investments.
• Higher education is adapting to AI, focusing on teaching students to use AI for complex tasks and integrating AI concepts into computer science curricula.
• AI is being viewed as a tool to enhance creativity and reduce burnout in game development.
• Live theatre is experiencing a resurgence, emphasizing human connection as a counterpoint to AI's rise.
• Cloudflare has introduced a system to assess the risks associated with 'Shadow AI' applications.
• AI and technology trends are significantly contributing to the growth of the commercial space industry.

California passes AI safety bill, testing Governor Newsom's tech ties

California lawmakers have passed a significant AI safety bill that requires companies to disclose their safety testing methods. This legislation could set a national standard for AI regulation. Governor Gavin Newsom faces a decision on whether to sign the bill, balancing tech industry support against public safety concerns. He previously vetoed a similar, more extensive bill last year, citing worries about California's competitiveness. This new bill, a more streamlined version, is based on recommendations from experts Newsom himself commissioned.

California Senate passes AI safety bill SB 53, awaiting Governor's decision

California's state senate has approved AI safety bill SB 53, which mandates transparency in safety protocols for large AI companies and offers whistleblower protections. The bill now goes to Governor Gavin Newsom for his signature or veto. Last year, Newsom vetoed a similar bill, expressing concerns about its strictness. This year's version, SB 53, has been amended to require less stringent disclosures for companies earning under $500 million annually. Despite opposition from some tech firms and lobbying groups, the bill aims to establish new transparency requirements for AI development.

Economist Tyler Schipper discusses AI's impact on entry-level jobs

Tyler Schipper, an economist at the University of St. Thomas, spoke about how artificial intelligence is making it harder for recent college graduates to find entry-level jobs. He explained that AI tools like ChatGPT can now perform tasks previously done by research assistants, such as preparing marketing reports. This shift means fewer support roles are available, impacting the job market for those starting their careers.

Thomas Feeney on AI's role and ethics in higher education

Thomas Feeney, director of the Master of Arts in Artificial Intelligence Leadership Program at the University of St. Thomas, discussed the importance of higher education preparing students for AI's impact. He shared an experience where students used AI for an assignment, producing generic work. Feeney emphasizes that students should focus on learning how to use AI to achieve things they couldn't otherwise, and then share those accomplishments, rather than just mastering current AI interfaces.

FTC probes AI firms on child safety; Medicare pilots AI for treatment authorization

The Federal Trade Commission (FTC) is demanding information from major AI companies like Meta about how children use AI products and what safeguards are in place, citing concerns over mental health and inappropriate interactions. Simultaneously, a federal pilot program starting in 2026 will use AI to authorize treatments for Medicare patients in six states. This program faces criticism from some lawmakers who fear it could lead to wrongful denials of care, with one representative calling it an 'AI death panel.' Both initiatives highlight growing bipartisan concerns about AI's role in social media and healthcare.

AI code generation sparks debate on computer science education's future

The rise of AI that can generate code has raised concerns among high school computer science students about their future job prospects. Experts, however, argue that learning to code remains crucial for developing computational thinking and problem-solving skills. They believe AI will not make coding obsolete but will instead create new opportunities and require humans to guide and control AI systems. Computer science education needs to adapt by integrating AI concepts and focusing on critical evaluation of AI technologies.

AI and tech trends accelerate growth in the space industry

Artificial intelligence and other technology trends are significantly boosting the commercial space industry, benefiting companies from large corporations like Blue Origin to new startups. AI is being used across various applications, from improving satellite data analysis to enhancing national security capabilities in space. Trends like the development of larger rockets such as SpaceX's Starship and Blue Origin's New Glenn are also crucial for reducing launch costs and enabling new ventures. NASA's Artemis moon program also presents major opportunities for commercial space companies.

Cloudflare launches automated scoring for Shadow AI risk

Cloudflare has introduced Application Confidence Scores, an automated system to evaluate the safety and security of third-party AI applications used by organizations. This system addresses the risks associated with 'Shadow AI,' where employees use unapproved AI tools that could expose sensitive data. The scoring provides ratings based on regulatory compliance, data management, security controls, and generative AI-specific risks. This information is derived from publicly available data and aims to help companies manage AI risks more effectively.

AI enhances game development by reducing burnout and boosting creativity

Artificial Intelligence is poised to reshape game development by acting as a powerful tool rather than a job replacement. AI can assist programmers by generating code and identifying errors, reducing burnout and freeing them for complex problem-solving. For artists and designers, AI can accelerate idea generation and the creation of initial assets, allowing them to focus on storytelling and emotional impact. While concerns exist, AI's potential lies in fostering innovation and collaboration, leading to more efficient development and better games.

Theatre thrives on human connection in the age of AI

Live theatre is experiencing a resurgence, drawing large audiences seeking authentic human connection in contrast to the rise of AI. While AI infiltrates many creative fields, theatre offers a unique experience where human interaction and emotion are central. Despite AI's potential to automate aspects of production like lighting and set design, theatre-makers believe AI will remain a creative partner, not a replacement for human performers and creators. The live, shared experience of theatre provides a vital space for exploring human emotions and societal issues.

AI and automation replace oilfield 'roughnecks'

The traditional 'roughneck' oilfield worker is increasingly being replaced by AI and automation, leading to significant job losses in the sector. Advanced technologies like autonomous geosteering allow drilling operations to occur remotely with minimal human oversight. This shift is driven by the need for efficiency and cost reduction, especially with fluctuating oil prices. While the hardest and riskiest jobs are being automated, some mechanically inclined human roles will remain, focusing on oversight and emergency shutdown.

AI stock market boom: What if it collapses?

The stock market has seen a significant rise, largely driven by enthusiasm for artificial intelligence, with ten major firms accounting for most of the gains. Many believe AI will revolutionize the economy, potentially leading to unprecedented value creation. However, a recent study suggests that 95% of organizations are currently seeing no return on their generative AI investments. This raises questions about the sustainability of the AI stock market boom and the potential risks if these high expectations are not met.

Sources

• California lawmakers pass landmark bill that will test Gavin Newsom on AI
• California lawmakers pass AI safety bill SB 53 — but Newsom could still veto
• In the News: Tyler Schipper on AI’s Impact on Entry-Level Jobs - Newsroom | University of St. Thomas
• In the News: Thomas Feeney on AI in Higher Education - Newsroom | University of St. Thomas
• FTC Inquires AI Companies on Safeguards for Children and Pilot Program Uses AI to Authorize Medicare Treatments — AI: The Washington Report
• AI Can Generate Code. Is That a Threat to Computer Science Education?
• How AI and other trends in technology are starting to supercharge the space industry
• Cloudflare Introduces Automated Scoring for Shadow AI Risk Assessment
• How AI can reshape game development
• The Guide #208: How theatre is holding its own in the age of artificial intelligence
• The roughneck is slowly disappearing from the oilfield as AI and automation take over
• What if the AI stock market blows up?