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a16z Podcast

California's Senate Bill 1047: What You Need to Know

a16z Podcast

a16z

Science, Innovation, Business, Entrepreneurship, Culture, Disruption, Software Eating The World, Technology

4.41.1K Ratings

🗓️ 6 June 2024

⏱️ 32 minutes

🧾️ Download transcript

Summary

On May 21, the California Senate passed bill 1047. This bill – which sets out to regulate AI at the model level – wasn’t garnering much attention, until it slid through an overwhelming bipartisan vote of 32 to 1 and is now queued for an assembly vote in August that would cement it into law. In this episode, a16z General Partner Anjney Midha and Venture Editor Derrick Harris breakdown everything the tech community needs to know about SB-1047. This bill really is the tip of the iceberg, with over 600 new pieces of AI legislation swirling in the United States. So if you care about one of the most important technologies of our generation and America’s ability to continue leading the charge here, we encourage you to read the bill and spread the word.

Transcript

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0:00.0

The cost to reach any given benchmark of reasoning of capability is dropping by about 50 times every five years.

0:08.0

The definitions for what was dangerous in the Cold War became obsolete so fast that a couple of decades later when the

0:14.5

Macintosh launched it was technically a munition. Great technologies always find their

0:19.6

way into downstream uses that the original developers would have had no way of knowing

0:24.7

about prior to launch.

0:26.7

No rational startup founder or academic researcher is going to risk jail time or financial ruin

0:32.1

just to advance the state of the art in AI.

0:35.0

There's no chance we'd be here without open source.

0:38.0

The state of California ranks as the fifth largest economy in the world.

0:43.0

And on a per capita basis, the Golden State jumps all the way up to number two.

0:48.0

Now, one of the drivers of those impressive numbers is, course technology, with California being the home

0:55.2

of all but one-fang companies and a long, long tail of startups.

1:00.8

But something happened recently that has the potential to dislocate the state's technical dominance and set a much more critical precedent for the nation.

1:09.0

On May 21st, the California Senate passed Bill 1047.

1:14.7

This bill, which sets out to regulate AI at the model level, wasn't garnering much attention

1:19.8

until it slid through an overwhelming bipartisan vote of 32 to 1, and is now cued for an

1:26.4

assembly vote in August, which, if passed, would cement it into law.

1:31.8

So here is what you need to know about this bill. Senate Bill 1047

1:36.1

is designed to apply to models trained above certain compute and cost thresholds. The

1:40.9

bill also puts developers both civilly and even criminally liable for the downstream use or modification of their models by requiring them to certify that their models won't enable, quote, hazardous capability.

1:52.0

The bill even expands the definition of perjury and could result in jail time.

1:57.2

Third, the bill would result in a new frontier model division, a new regulatory agency

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