Newsom Reverses Stance on AI Regulation

California Governor Gavin Newsom has significantly altered his approach to artificial intelligence, moving from a position of fostering AI innovation to implementing stringent regulations on the industry. This shift represents a marked contrast to his stance just over a year ago.

In October 2025, Newsom vetoed legislation that would have mandated data centers report their projected and past water usage during license applications and renewals. At the time, he stated his desire to position California as a hub for AI development, expressing reluctance to impose restrictive reporting requirements. "The widespread adoption of artificial intelligence technologies is driving an unprecedented demand for data center capacity throughout the nation," Newsom wrote in a statement. "As the global epicenter of the technology sector, California is well positioned to support the development of this critically important digital infrastructure in the state."

However, Newsom has recently signed multiple bills aimed at regulating AI and data centers, including one that requires such facilities to disclose their water consumption. This move has been characterized as a complete reversal of his previous position.

![Demonstrators hold placards during an “emergency protest” by civic action group PauseAI UK outside Downing Street in central London, Wednesday, Sept. 16, 2026. The demonstration follows news that AI researcher Jacob Coxon decided to leave the industry, warning that AI labs were “gambling with our lives.”]( "People protesting AI with signs saying "PAUSE AI", "INTERNATIONAL TREATY OR BUST", and "DON'T LET AI DECIDE OUR FUTURE".")

Newsom has stated that he is taking action to address "the very real concerns that impact all of our futures." He is now issuing executive orders to develop an AI "kill switch" and has appointed a committee to devise new regulations. He now speaks of "first-in-the-nation safeguards and accountability measures," a departure from his earlier stance of being "reluctant to impose rigid reporting requirements."

The shift in Newsom's position is attributed by some observers to a broader political realignment, suggesting that Democrats have adopted an anti-AI message ahead of midterm elections and are amplifying public concerns about AI's potential risks, as well as the environmental impact of data centers.