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AI Regulations Are Crony Capitalism in Action

May 19, 2024 - reason.com
OpenAI founder Sam Altman has called for government regulation of AI systems, suggesting the formation of an agency to license AI systems and ensure safety standards. Altman's call for regulation has been supported by major AI players, including Microsoft and Google, who see the need for a baseline of safety and capability in AI. Altman likens the current AI situation to the "printing press moment", a time of profound change that could bring both benefits and disturbances to human well-being.

The article also discusses the concept of "bootleggers and Baptists" in relation to AI regulation, where one group supports regulation for moral reasons and another for financial gain. It suggests that the AI industry could become a cozy cartel, with major players working together with government and interest groups. The author warns that this could stifle innovation and slow down the pace of development in the AI field. However, they also note that knowledge flows cannot be stopped and that market competition will eventually be allowed to move mankind closer to a more prosperous era.

Key takeaways:

  • OpenAI founder Sam Altman testified before the Senate Judiciary Committee about ChatGPT, calling for government regulation to mitigate the risks of increasingly powerful AI systems and suggesting the formation of an agency to license AI systems.
  • Altman is seeking U.S. government approval to raise billions from investors to build a massive AI-chip manufacturing facility, likening the current AI revolution to the 'printing press moment' that revolutionized communication and knowledge distribution.
  • Major AI players like Microsoft and Google have also called for thorough government regulation of AI, with Microsoft President Brad Smith advocating for a licensing regime to ensure safety and capability, and Google CEO Sundar Pichai emphasizing the importance of regulating AI well.
  • The article suggests that the 'Wild West' days of generative AI may be coming to an end, with the potential for slower development and growth due to regulation, but also notes that knowledge flows cannot be stopped and market competition will eventually be allowed to move mankind closer to a more prosperous era.
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