The Race To Regulate Artificial Intelligence

The Race To Regulate Artificial Intelligence

Artificial Intelligence is taking the world by storm. ChatGPT and other emerging AI technologies have the potential to transform the way people work and interact with information and each other. These technologies are enabling people to reach new heights of knowledge and productivity, changing the labor market, reshaping the economy, and bringing about unprecedented economic and social growth.

At the same time, the speed of AI development is frustrating technologists, citizens and regulators. Even staunch fans of the technology, including OpenAI CEO Sam Altman and Apple co-founder Steve Woznick, warn that unchecked artificial intelligence can cause uncontrollable damage and pose serious risks to individuals and society. The worst predictions concern the ability of AI to destroy labor markets, make humans obsolete or, in extreme cases, destroy humanity.

As tech companies rush to develop AI capabilities despite criticism and scrutiny, Washington is mounting pressure to shape AI regulation without stifling innovation. Different organizational models based on different values ​​and motivations have already emerged in the US, China and Europe. These different approaches will not only revitalize domestic markets, but also lead to the expansion of US, Chinese and European digital empires, each offering a competitive vision for the global digital economy, seeking to expand their digital footprint. .

As the race for AI dominance intensifies, how countries manage AI will have far-reaching implications for technology and society in the future. At a critical moment in the AI ​​regulation debate in Washington, the United States cannot remain silent as China and Europe address these fundamental questions to the world.

Digital Empire

When it comes to digital regulation, the US is taking a market approach, China is taking a government approach, and the EU is taking a rights-based approach. The American model reflects an implicit faith in markets and a limited role for government. They focus on promoting freedom of speech, internet freedom and innovation. Washington sees digital technology as a source of economic prosperity and political freedom, as well as a tool for social change and development, a view reflected in its reluctance to limit artificial intelligence. The United States' approach to managing artificial intelligence is largely based on unwavering technical optimism and relentless innovation and technological progress, with American technology companies seen as the driving force behind this development.

Washington sees artificial intelligence as an opportunity to boost economic growth and strengthen US technological and military dominance amid growing US-China technological competition and growing geopolitical tensions. Washington's unilateral emphasis on economic and geopolitical dominance has delayed this organization. For this reason, the United States has not developed concrete federal AI laws, but simply provides voluntary standards that technology companies can accept or ignore. For example, the AI ​​Bill of Rights released by the White House in October 2022 provides guidance to AI developers and users to protect the rights of the American people in the age of cybersecurity. "IA, but ultimately" depends on the self-regulation of technology companies. Prominent politicians, including Federal Trade Commission Chairwoman Lena Khan, have warned that putting AI regulation in the hands of corporations could be too expensive, and argued that government regulation is critical to ensuring that everyone can benefit from AI technology. . . In the United States, however, comprehensive AI regulation is still a long way off, given the political deadlock in Congress and politicians' fears that such regulation could hurt innovation and undermine America's technological leadership.

In contrast, China has taken a federal approach to digital regulation to make it the world's biggest tech superpower . Beijing's pragmatic digital economy approach aims to increase the Chinese Communist Party's (CCP) political influence by using digital technology as a tool for censorship, surveillance and propaganda. The Chinese government has encouraged the development of the country's technology industry from the very beginning. However, Beijing has taken action in the tech sector in recent years to promote "shared prosperity" and prevent the Chinese state from being dominated by tech giants.

Recognizing the economic and political benefits of AI, the Chinese government is heavily subsidizing new tools that increase its capacity for mass surveillance of its citizens while maintaining social stability. China's Authoritarian Tech Regime Pushes AI Control: While AI-based facial recognition can help Beijing's efforts to establish political control, generative AI like ChatGPT could undermine that control. Generative AI is based on large amounts of data, and the technology is constantly evolving as it is used. This poses a new challenge to China's censorship regime.

How countries manage AI will have huge implications for the future of technology and society.

Faced with these potential challenges, Beijing is determined to harness the country's AI capabilities. In the year In 2022, the Chinese government introduced basic laws against deep falsification and tipping algorithms that could threaten Chinese citizens' fundamental rights and trust in digital technology and the CCP's control of the Internet. China's Digital Economy. In April, the government issued draft laws for generative AI that would hold developers accountable for banned or illegal content, including content that deviates from CCP policy values. These legal changes show that the Chinese government is determined to advance the future of AI in the country by encouraging technological advances while ensuring that the Chinese Communist Party does not undermine social stability and political control.

The EU has moved away from the US and China by creating its own regulatory model focused on consumer and citizen rights. From a European perspective, AI represents such a disruptive digital transformation that it should not be left solely at the mercy of technology companies, but firmly rooted in the rule of law and democratic governance. Precisely this means that governments must intervene to protect the basic rights of individuals, support the democratic structures of society, and ensure that the benefits of the digital economy are shared equitably.

This European rights-based approach is reflected in important EU legislation, such as the General Data Protection Regulation, which protects citizens' data privacy. In addition, the Digital Markets Act was recently passed, which imposes obligations on so-called digital gatekeepers, including US tech giants, to limit their dominance and protect competition; And the Digital Services Act lays down rules for holding online platforms accountable for content hosted on them. The development of artificial intelligence continues to push Europe in this direction. EU lawmakers recently approved a far-reaching piece of legislation, the Artificial Intelligence Act, aimed at reducing harms associated with artificial intelligence and protecting basic human rights. AI systems that exploit human vulnerability or mimic human behavior will be banned under the draft law, which is expected to be finalized later this year. The use of real-time facial recognition in public spaces has been banned as a form of predictive policing, as it threatens fundamental rights and liberties and constantly monitors a majority of society. Artificial intelligence systems that may lead to discrimination in access to employment or public services are also heavily regulated.

Die Europäische Union stand kurz vor der Verabschiedung eines KI-Gesetses, als OpenAI im November 2022 den kann, um riskante und sichère Ziele sächt. This issue is expected to control the final stages of the legislative process, but the European Parliament has already indicated that generative AI must meet various transparency requirements and be designed in a way that does not violate fundamental rights or create illegal content. Once completed, this mandatory law will be the world's first comprehensive regulation of artificial intelligence.

No market, no state.

Washington, Beijing and Brussels' divergent views on the age of AI are a crucial step in the construction of three separate "digital empires" that seek to control the ongoing process of technology and, as others, expand digital influence. Countries get advice on artificial intelligence legislation.

The promise of artificial intelligence to drive technological progress and economic growth, coupled with the challenges of managing rapidly advancing technologies, is likely to encourage some governments, such as the United States, to take the voluntary route. America's market-based model has created enormous wealth and fueled enviable technological advances. At the same time, it is becoming clear that the lack of regulation of US technology companies is costly. Unaware of the many market failures, Washington has repeatedly exposed the market power of high-tech companies like Google that monopolize digital advertising technologies at the expense of their competitors. These market failures, combined with the proliferation of data and the growing awareness that technology companies are using users' personal data, are fueling a growing distrust of technology companies. Governments around the world are trying to re-regulate their digital markets and regulate high-tech companies to reduce the power that US tech companies have over foreign internet users. The American public and even lawmakers in all political circles are now calling for more government regulation of the technology industry.

Washington must decide whether it wants to play a role in building the digital world of the future.

While the American approach is losing appeal, the Chinese model of government is gaining ground. China is building a "digital silk road" by exporting AI-based intelligence technology and other digital infrastructure to governments around the world. Ruling governments find the Chinese model attractive given Beijing's apparent ability to combine innovation with political control. But creative AI can change its mind, showing that tight control leads to less innovation. While China is the world leader in AI-based surveillance technologies, it still lags behind the US in developing generative AI systems. This suggests that, in part, the country's censorship laws restrict the data that can be used to train business models, and that internet freedom can best foster innovation and economic growth, at least in this category of digital technologies.

If the American market model seems too liberal and the Chinese government model too restrictive, the European approach may represent an alternative to Goldilocks: a third way by protecting fundamental rights to control corporate power and preserving democratic institutions. As the backlash against U.S. tech companies mounts, governments in Australia, Brazil, Canada and South Korea are emulating European digital regulations to abandon market-based structures and re-regulate their digital economies. .

Whether or not other governments follow the regulatory framework, the EU can influence the development of global AI. Tech companies spread strict EU rules to their global operations to standardize their products and services around the world – a phenomenon known as the Brussels effect. For example, AI developers who want to train algorithms to use EU data will also be bound by EU AI legislation outside the EU. If they want to avoid EU regulatory restrictions, they will have to develop entirely new algorithms without EU data. In this way, Europe can play a role in shaping AI regulation both abroad and at home, globalizing human rights-based standards in Europe, and expanding the EU's digital influence in the process. A good example is OpenAI's Sam Altman, who threatened to remove ChatGPT from the EU in May, citing looming regulatory restrictions, only to back off his threat days later in the face of heavy criticism from European lawmakers. The dominance of the European regulatory system can be controversial; Some foreign nationals and governments may welcome European efforts and feel confident knowing they are covered by EU digital protection. However, other external stakeholders may accuse the EU of regulatory imperialism, saying that the influence of Brussels threatens innovation, economic growth and social progress everywhere, and threatens the ability of non-EU governments to regulate AI in accordance with their values ​​and interests. . .

The future of the AI ​​revolution

As the EU and China lead the race to dominate AI, Washington must decide to play its part in shaping the digital world of the future. The emergence of technological competition between the United States and China could encourage Washington to side with the development of artificial intelligence, as American politicians continue to insist on the virtues of the free market and continue to rely on the skills and interests of technology companies. To limit any damage. Connected to AI. Furthermore, the US has been left unable to regulate AI technology only because of a flaw in the US policy process that has prevented meaningful AI legislation in the past. Constant pressure from technology companies has allowed the status quo to continue.

However, three recent events suggest that the United States may abandon its liberal approach to technology and move closer to the EU in embracing AI regulation. First, leading AI experts and developers like Altman and AI pioneer Geoffrey Hinton lobbied lawmakers and the general public to rally national support for regulation. In this new political environment, deregulation is difficult to defend. Second, the US may conclude that it prefers to trade together with the EU. Third, the common concerns of the United States and the European Union about China's growing global influence are a major impetus for closer transatlantic cooperation.

The United States has repeatedly declared its willingness to join forces with the European Union and other democratic allies to promote standards that correspond to civil liberties and democratic values , as well as to promote a united democratic front against China and its digital authoritarian allies . The administration of Biden increasingly draws ideological lines in the struggle for technological dominance, portraying the competition as a struggle of technological democracies against authoritarian technological regimes. The United States and the European Union could put aside their differences and develop common standards for AI aimed at promoting innovation, protecting fundamental rights and preserving democracy. However, as many parts of the world slide towards authoritarianism, Washington and Brussels will try their best to stop the growing demand for Chinese surveillance technologies, risking the widespread use of AI as a tool to undermine democracy.

In the coming years, there will be winners and losers not only in the race for the development of artificial intelligence technologies, but also in the competition between the normative approaches that regulate these technologies. These competing models expand the possibilities of technological companies, governments or digital citizens in different ways with far-reaching economic and political consequences. How governments accept these decisions will determine whether the ongoing revolution will serve democracy and bring unprecedented prosperity or lead to serious social damage or even unforeseen disasters.

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