As artificial intelligence (AI) continues its rapid ascent since 2022, discussions around industry regulation have grown just as quickly. While many startup founders fear that regulation might stifle innovation, others believe that delaying regulatory measures could have detrimental long-term consequences for the AI sector.
Helen Toner, director of strategy and foundational research grants at the Center for Security and Emerging Technology and a former board member at OpenAI, has a clear perspective on this issue. Speaking at TechCrunch’s StrictlyVC event in June, Toner warned that the AI industry should not fear immediate regulation but rather the potential for hasty and ill-considered legislation if regulation is delayed.
Toner highlighted that waiting for a crisis to occur before implementing regulation could lead to rushed and potentially overbearing policies, as seen in other sectors like cryptocurrency and social media. “An incident will happen and then Congress will quickly pass legislation that regulates the industry in a way that could be overbearing or less thought out than what it could look like if it was implemented before something happened,” she noted.
Proactive Regulation as a Safeguard
Proactive regulation, Toner argues, could prevent severe future crises and reduce the need for rapid, poorly-thought-out responses. “Some of the smarter and more thoughtful actors in this space are trying to say, ‘okay, what are the pretty light-touch, pretty common-sense guardrails we can put in place now to make future crises less likely, less severe,’” she said.
Regardless of their stance on regulation, Toner believes that AI startups and venture capitalists should actively engage in regulatory discussions. By interacting with policymakers and lobbyists, companies can influence the development of regulations that are both effective and considerate of their operational needs. “I think thinking of it as a productive collaboration between different people with different kinds of expertise, and bringing the expertise that you have, is really valuable,” Toner emphasized.
Preparing for Regulation
Toner advises AI companies, including smaller startups, to prepare for potential regulations by maintaining meticulous records of their operations. This includes tracking data on training processes, model testing, data usage, updates, and deployed models. Proper documentation can ensure compliance and readiness for future regulations. “The stories you hear from people who’ve been on the inside of some of these big companies is they often don’t even have good records of which combination of models is running that particular product right now,” she said.
Despite ongoing congressional hearings on AI regulation, Toner does not anticipate significant regulatory changes in the near term, regardless of political developments. “If I had to put money on it, I would probably put money on there not being enormous new changes at the federal level,” she predicted. However, she noted that smaller, incremental changes might occur.
Proactive engagement and preparation for regulation could benefit the AI industry by preventing rushed and overbearing policies in the future. By collaborating with policymakers and maintaining thorough operational records, AI companies can help shape effective regulations that foster innovation while safeguarding against potential crises.
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