AI executive order stretches its powers to influence citizen-impacting AI

AI executive order stretches its powers to influence citizen-impacting AI

November 2, 2023, Global Data Review

Holly Fechner and Yan Luo’s commentary was included in a Global Data Review article discussing the effects of Biden administration’s new executive order regarding artificial intelligence (AI).

Yan examined how the executive order factors into the global discussion around AI regulation, saying, “We see the emergence of certain principles coming out of the various policy documentations. How different governments pursue their own regulatory priorities or enforcement will probably be different. I feel it’s a little bit hard to say which one is more stringent, the priorities will probably be different.”

Holly commented on the overall impact of the executive order, saying “a future president is free to overturn or change an executive order and we see this often in changes in administration. New administrations undo prior executive orders [and] that leads to some potential uncertainty about these new policies. The other issue is the president puts out an executive order they can only rely on existing law. If Congress hasn’t passed a law to do certain things, then the president can’t include requirements in the executive order to enforce whatever policy they want to have.”

Holly spoke further on issues around the order requiring companies to disclose red-teaming vulnerability testing results to the government. Such disclosures are only required for AI systems that present a national security, national economic security, or national public health and safety risk. “Such an obligation places more significance on AI software providers to ensure their systems are secure,” Holly added. She also said the Office of Management and Budget’s (OMB) recent request for comment in connection to a new draft policy regarding the federal government’s use of AI could affect consumers’ AI products. “Why that can be very significant is because these policies – or the results of these policies – will be integrated into federal contracts that the government has with AI service providers. So, through the power of procurement they are able to impact how the companies develop and sell their services to the federal government. Oftentimes companies don’t want to have a different AI product than everyone else, that’s why the federal government’s procurement policy can have a real impact on shaping the market for AI services,” she said.