New York Gov. Kathy Hochul signed the RAISE Act, a new law aimed at boosting AI model safety and transparency among the largest developers. The law requires covered companies to publicly describe their safety protocols and to notify the state within 72 hours when certain safety incidents occur. The move follows negotiations over how closely New York’s approach should track California’s earlier AI safety legislation, as states experiment with ways to manage fast-moving AI risks.

Highlights:

• Who it targets: Coverage focuses on large AI developers, including companies with at least $500 million in revenue, rather than smaller startups and research groups.
• Scaled penalties: Hochul’s signed version set maximum fines at $1 million for a first violation and $3 million for subsequent violations, down from earlier proposals cited as far higher.
• New oversight office: The law creates a dedicated AI safety and transparency office inside New York’s Department of Financial Services, which is tasked with issuing annual assessments of large AI developers.
• Entertainment focus: Hochul also signed two other AI-related bills earlier in December that address AI use in the entertainment industry.
• Federal-state tension: The signing comes as President Trump has pushed to limit state-by-state AI rules and recently signed an executive order calling for “a minimally burdensome national standard”.

A minimally burdensome national standard - President Donald Trump

Perspectives:

• Gov. Kathy Hochul’s administration: Signed the RAISE Act as a transparency-and-safety framework for large AI developers, pairing reporting requirements with a new state oversight office. (Engadget)
• Bill sponsor (as described by WSJ/Techmeme): Characterized the measure as the strongest AI safety law in the U.S., emphasizing rapid incident disclosure and published safety protocols for top developers. (Techmeme)
• President Donald Trump: Has advocated for a national approach that reduces burdens and aims to curb states’ separate AI regulatory efforts. (Engadget)
• New York lawmakers negotiating the bill: Debated how closely New York’s RAISE Act should mirror California’s earlier AI safety law during negotiations preceding the governor’s sign-off. (Politico)

Sources:

• Hochul to sign New York’s AI safety law aimed at tech industry heavyweights - politico.com
• Governor Hochul signs New York's AI safety act - engadget.com
• New York Governor Kathy Hochul signs RAISE Act to regulate AI safety - techcrunch.com
• The RAISE Act requires AI companies with $500M+ in revenue to publish safety protocols and disclose safety incidents within 72 hours, with fines up to $3M (Isabelle Bousquette/Wall Street Journal) - techmeme.com