New York has become the first state to enact a law requiring clear disclosure for advertisements generated using artificial intelligence. The legislation, signed into law, mandates that commercials created or modified by AI must carry prominent labels.
Under the new regulation, companies that fail to disclose the use of AI in their advertisements face penalties. Repeat violations can result in fines of up to $5,000. The law aims to ensure transparency for consumers who are exposed to AI-generated content in commercial messaging.