Essays in the Category "Laws and Regulations"
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It’s Time for the Semiconductor Industry to Step Up
Semiconductor firms have a lot to learn from America’s banks; investing in compliance is the price of entry in a critical industry.
Earlier this week, the Trump administration narrowed export controls on advanced semiconductors ahead of US-China trade negotiations. The administration is increasingly relying on export licenses to allow American semiconductor firms to sell their products to Chinese customers, while keeping the most powerful of them out of the hands of our military adversaries. These are the chips that power the artificial intelligence research fueling China’s technological rise, as well as the advanced military equipment underpinning Russia’s invasion of Ukraine…
AI-Generated Law Isn’t Necessarily a Terrible Idea
The UAE joins a stream of other countries using the technology to write legislation.
On April 14, Dubai’s ruler, Sheikh Mohammed bin Rashid Al Maktoum,?announced?that the United Arab Emirates would begin using?artificial intelligence?to help write its laws. A new Regulatory Intelligence Office would use the technology to "regularly suggest updates" to the law and "accelerate the issuance of legislation by up to 70%." AI would create a "comprehensive legislative plan" spanning local and federal law and would be connected to public administration, the courts, and global policy trends.
The plan was widely greeted with astonishment. This sort of AI legislating would be a global "…
AI Will Write Complex Laws
AI is poised to help legislators write more intricate laws, exercising increasing control over the executive.
Artificial intelligence (AI) is writing law today. This has required no changes in legislative procedure or the rules of legislative bodies—all it takes is one legislator, or legislative assistant, to use generative AI in the process of drafting a bill.
In fact, the use of AI by legislators is only likely to become more prevalent. There are currently projects in the US House, US Senate, and legislatures around the world to trial the use of AI in various ways: searching databases, drafting text, summarizing meetings, performing policy research and analysis, and more. A Brazilian municipality …
The SEC Whistleblower Program Is Dominating Regulatory Enforcement
As the program, which cuts in whistleblowers on enforcements awards, grows exponentially, conflicts of interest are emerging. AI could make it worse.
Tax farming is the practice of licensing tax collection to private contractors. Used heavily in ancient Rome, it’s largely fallen out of practice because of the obvious conflict of interest between the state and the contractor. Because tax farmers are primarily interested in short-term revenue, they have no problem abusing taxpayers and making things worse for them in the long term. Today, the U.S. Securities and Exchange Commission (SEC) is engaged in a modern-day version of tax farming. And the potential for abuse will grow when the farmers start using artificial intelligence…
Let’s Not Make the Same Mistakes with AI That We Made with Social Media
Social media’s unregulated evolution over the past decade holds a lot of lessons that apply directly to AI companies and technologies.
Oh, how the mighty have fallen. A decade ago, social media was celebrated for sparking democratic uprisings in the Arab world and beyond. Now front pages are splashed with stories of social platforms’ role in misinformation, business conspiracy, malfeasance, and risks to mental health. In a 2022 survey, Americans blamed social media for the coarsening of our political discourse, the spread of misinformation, and the increase in partisan polarization.
Today, tech’s darling is artificial intelligence. Like social media, it has the potential to change the world in many ways, some favorable to democracy. But at the same time, it has the potential to do incredible damage to society…
Building a Cyber Insurance Backstop Is Harder Than It Sounds
Insurers argue that a government backstop would help them cover catastrophic cyberattacks, but it’s not so simple.
In the first week of January, the pharmaceutical giant Merck quietly settled its years-long lawsuit over whether or not its property and casualty insurers would cover a $700 million claim filed after the devastating NotPetya cyberattack in 2017. The malware ultimately infected more than 40,000 of Merck’s computers, which significantly disrupted the company’s drug and vaccine production. After Merck filed its $700 million claim, the pharmaceutical giant’s insurers argued that they were not required to cover the malware’s damage because the cyberattack was widely attributed to the Russian government and therefore was excluded from standard property and casualty insurance coverage as a “hostile or warlike act.”…
CFPB’s Proposed Data Rules Would Improve Security, Privacy and Competition
By giving the public greater control over their banking data, the Consumer Financial Protection Bureau's proposal would deal a blow to data brokers.
In October, the Consumer Financial Protection Bureau (CFPB) proposed a set of rules that if implemented would transform how financial institutions handle personal data about their customers. The rules put control of that data back in the hands of ordinary Americans, while at the same time undermining the data broker economy and increasing customer choice and competition. Beyond these economic effects, the rules have important data security benefits.
The CFPB’s rules align with a key security idea: the decoupling principle. By separating which companies see what parts of our data, and in what contexts, we can gain control over data about ourselves (improving privacy) and harden cloud infrastructure against hacks (improving security). Officials at the CFPB have described the new rules as an attempt to accelerate a shift toward “open banking,” and after an initial comment period on the new rules closed late last year, Rohit Chopra, the CFPB’s director, …
AI Microdirectives Could Soon Be Used for Law Enforcement
And they’re terrifying.
Imagine a future in which AIs automatically interpret—and enforce—laws.
All day and every day, you constantly receive highly personalized instructions for how to comply with the law, sent directly by your government and law enforcement. You’re told how to cross the street, how fast to drive on the way to work, and what you’re allowed to say or do online—if you’re in any situation that might have legal implications, you’re told exactly what to do, in real time.
Imagine that the computer system formulating these personal legal directives at mass scale is so complex that no one can explain how it reasons or works. But if you ignore a directive, the system will know, and it’ll be used as evidence in the prosecution that’s sure to follow…
How AI Could Write Our Laws
ChatGPT and other AIs could supercharge the influence of lobbyists—but only if we let them
Nearly 90% of the multibillion-dollar federal lobbying apparatus in the United States serves corporate interests. In some cases, the objective of that money is obvious. Google pours millions into lobbying on bills related to antitrust regulation. Big energy companies expect action whenever there is a move to end drilling leases for federal lands, in exchange for the tens of millions they contribute to congressional reelection campaigns.
But lobbying strategies are not always so blunt, and the interests involved are not always so obvious. Consider, for example, a 2013 …
Why the U.S. Should Not Ban TikTok
The ban would hurt Americans—and there are better ways to protect their data.
Congress is currently debating bills that would ban TikTok in the United States. We are here as technologists to tell you that this is a terrible idea and the side effects would be intolerable. Details matter. There are several ways Congress might ban TikTok, each with different efficacies and side effects. In the end, all the effective ones would destroy the free internet as we know it.
There’s no doubt that TikTok and ByteDance, the company that owns it, are shady. They, like most large corporations in China, operate at the pleasure of the Chinese government. They collect extreme levels of information about users. But they’re not alone: Many apps you use do the same, including Facebook and Instagram, along with seemingly innocuous apps that have no need for the data. Your data is bought and sold by data brokers you’ve never heard of who have few scruples about where the data ends up. They have digital dossiers on most people in the United States…
Sidebar photo of Bruce Schneier by Joe MacInnis.