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#HelloWorld. Spring has sprung. While the EU AI Act receives wall-to-wall coverage in other outlets, this issue highlights recent rules, warnings, and legislative enactments here in the U.S. And it ends on a personal, meditative note from an AI user, worth a read. Let\u2019s stay smart together. (Subscribe to the mailing list<\/a>\u00a0to receive future issues.)<\/em><\/p>\n <\/p>\n New rules for federal agency use of AI. <\/strong>Following up on the President\u2019s October 2023 Executive Order addressing AI, on March 28, the Office of Management and Budget released a memorandum<\/a> governing many aspects of AI use by federal agencies.<\/p>\n Within 60 days, each agency is required to appoint a \u201cChief AI Officer\u201d (or CAIO, for acronym lovers). The CAIO will coordinate the agency\u2019s procurement, use, and risk management for AI systems. Among other obligations, agencies will now have to:<\/p>\n These \u201cminimum practices\u201d include performing an AI impact assessment, testing and documenting results of AI use under real-world conditions, and maintaining adequate human oversight and opt-out processes for rights-impacting AI tools.<\/p>\n Utah enacts an AI statute.<\/strong> In mid-March, Utah\u2019s governor signed into law a set of \u201cArtificial Intelligence Amendments<\/a>,\u201d taking effect on May 1, 2024. One part of these amendments\u2014the \u201cArtificial Intelligence Policy Act\u201d\u2014does things like set up a state \u201cOffice of Artificial Intelligence Policy\u201d and \u201cArtificial Intelligence Learning Laboratory Program.\u201d<\/p>\n The remaining part amends Utah\u2019s consumer protection statutes to clarify that use of \u201cgenerative artificial intelligence\u201d is \u201cnot a defense\u201d to the violation of those statutes. Private companies will not be able to escape liability for violations on the ground that a generative AI tool (rather than a human) made a statement or took an action that violates the state\u2019s consumer protection statute. Two other interesting tidbits from this section:<\/p>\n U.S. government spending on AI increases. <\/strong>The Brookings Institution released another study<\/a> in its series examining U.S. government investment in AI, based on an analysis of federal contracts using the term \u201cartificial intelligence\u201d in the description. The takeaway? Washington, D.C., is putting its money where its mouth is: There\u2019s been a staggering 1,200% increase in the potential value of AI contracts, amounting to more than $4.2 billion, in just one year. Not surprisingly, the spending is dominated by the Department of Defense.<\/p>\n A word of warning about unfounded AI marketing claims.<\/strong> In public remarks<\/a> Reuters <\/em>reported on March 19, the U.S. Attorney for the Northern District of California cautioned that \u201cAI is fertile ground for fraudsters to make false and exaggerated claims\u201d\u2014not just about technological capabilities, but about standard business metrics like customer and subscriber numbers and revenues. Thus the double-edged sword of all the current attention on AI: Prospects and investors are closely monitoring the space, but so too are the law enforcers.<\/p>\n What we\u2019re reading.<\/strong> To close out this issue, we\u2019ll leave you with this link<\/a> to a considered essay penned by Joe Dworetzky, Bay Area journalist, cartoonist, and sometime AI Update reader. In the piece, Joe reflects on his own experiments with art-generating AI tools and the thoughts and feelings evoked along the way. There\u2019s a lesson here, about mindfulness and deliberateness in our approach toward the gear we use.<\/p>\n What should <\/em>we be following?<\/strong> Have suggestions for legal topics to cover in future editions? Please send them to AI-Update@duanemorris.com<\/a>. We\u2019d love to hear from you and continue the conversation.<\/p>\n Editor-in-Chief<\/em><\/strong>: <\/strong>Alex Goranin<\/a><\/p>\n Deputy Editors<\/em><\/strong>:<\/strong> Matt Mousley<\/a> and Tyler Marandola<\/a><\/p>\n\n
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