California Governor Gavin Newsom
California Governor Gavin Newsom. Photo: Airman 1st Class Ryan Quijas/DVIDS

California is moving ahead with its own artificial intelligence rules that companies could adopt nationwide, even as the federal government pushes for a unified national standard.

The push is being driven by a new executive order signed by California Governor Gavin Newsom, which establishes standards for how state agencies use and procure AI, alongside legislative proposals focused on chatbot oversight and minor safety protections.

The executive order tightens procurement rules, requiring agencies to assess risks such as bias, civil rights violations, and illegal content, while preserving the state’s ability to independently evaluate AI vendors regardless of federal designations.

It also directs agencies to define AI risk standards, expand the use of vetted tools in public services, and introduce safeguards such as watermarking, according to The Associated Press.

The move comes as the federal government advances a national AI framework aimed at limiting state-level regulation, taking a lighter approach that may not directly address issues such as bias, discrimination, or civil rights.

The order also follows tensions between the Pentagon and Anthropic, after the company was designated a supply chain risk.

California’s approach could shape AI practices beyond its borders, as companies adjust to state requirements to maintain access to its market, despite federal efforts to centralize regulation.

“California’s always been the birthplace of innovation. But we also understand the flip side: in the wrong hands, innovation can be misused in ways that put people at risk,” Newsom said.

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