Utah has officially passed legislation to protect consumers from artificial intelligence (AI). The new Utah Artificial Intelligence Policy Act (AIPA) was signed into law by Governor Spencer Cox and will take effect May 1.

The AIPA is among a small group of U.S. state-level bills introduced so far in 2024 which address both public- and private-sector AI products and services. The AIPA is aimed at protecting consumers by bringing generative AI under the scrutiny of Utah’s consumer protection, healthcare, and financial services laws.

“This legislation is a call to action for policymakers, businesses, and individuals to work together to create a future where AI is developed and used in a way that benefits everyone,” said Brian Sathianathan, co-founder of Iterate.ai. “It’s a reminder that with great power comes great responsibility and we must take ethical considerations in AI development seriously.”

The new law requires transparency when businesses use AI. Should the AI deceive consumers, then businesses could be fined an administrative fine of up to $2,500 and/or civil penalties up to $5,000; it also establishes the Office of AI Policy housed within Utah’s Consumer Protection Division. Such an office will advise lawmakers on risks and benefits of AI.

“Utah has set an example for other states and countries to follow. It’s time for us to acknowledge the power of AI and take responsibility for how we use it. It’s time for us to work together to create a future where AI benefits everyone,” concluded Sathianathan. “The Artificial Intelligence Policy Act is a significant step towards ensuring that AI is developed and used in a way that benefits everyone. It’s a powerful message that acknowledges the potential consequences of AI and takes responsibility for its use.”