New York is taking a hard swing at the AI industry with two bills that could reshape how the technology operates in the state. The proposed legislation would force publishers to slap disclaimers on AI-generated news and slam the brakes on new data center construction for three years - a direct response to skyrocketing electricity bills that jumped 9 percent for Con Edison customers alone. It's one of the most aggressive state-level moves yet to regulate an industry racing faster than lawmakers can keep up.
New York lawmakers just dropped two bills that could fundamentally change how AI companies operate in the state - and they're not playing around. The proposals target both sides of the AI equation: what the technology produces and the massive infrastructure it demands.
The New York Fundamental Artificial Intelligence Requirements in News Act, mercifully shortened to the NY FAIR News Act, would mandate that any news content "substantially composed, authored, or created through the use of generative artificial intelligence" must carry a visible disclaimer. But it goes further than just labeling. The legislation would also require human editorial oversight before AI-generated content hits publish, forcing organizations to maintain what the bill calls "editorial control" over machine-written material.
The requirements don't stop at disclosure to readers. News organizations would have to tell their own employees exactly how and when AI is being deployed in their newsrooms. There's also a privacy component - the bill calls for safeguards preventing AI systems from accessing confidential information, particularly details about journalistic sources.
Meanwhile, the second piece of legislation, bill S9144, takes aim at the physical backbone of the AI boom. It would impose a three-year moratorium on permits for new data center construction across the state. The reason? Money - specifically, the astronomical energy costs these facilities are dumping onto everyday ratepayers.
