California Proposes Regulations to Limit Use of AI in Decision Making

The California Privacy Protection Agency's draft rules would allow Californians to opt out of their data being used in automated decision making.

California's Privacy Protection Agency (CPPA) has proposed regulations to limit the use of artificial intelligence (AI) in decision making, allowing Californians to opt out of their data being used in automated decision making.
The draft rules would require businesses to disclose how they plan to use automated decision making technology, allowing consumers to decide whether to opt out or allow the business to use their data.
Businesses that use AI to build profiles about people, including job applicants, students and patrons of malls, sports stadiums and cafes, would also be subject to the rules.
Industry lobbyists have sought to narrow the scope of the rules to exclude AI-assisted decisions that are made with human involvement.
The CPPA's board will discuss the proposed regulations on December 8, and the agency expects to begin formal rulemaking next year.