California Bill to Regulate AI Chatbots Clears Legislature, Heads to Governor's Desk

California Bill to Regulate AI Companion Chatbots Nears Passage A bill aimed at regulating AI companion chatbots in California has cleared both the State Assembly and Senate with bipartisan support, sending it to Governor Gavin Newsom's desk for signature or veto. The legislation, SB 243, would make California the first state to require AI chatbot operators to implement safety protocols for companions and hold companies accountable if their chatbots fail to meet those standards. The bill specifically targets companion chatbots that provide adaptive, human-like responses and can meet users' social needs. It prohibits these chatbots from engaging in conversations around suicidal ideation, self-harm, or sexually explicit content. Platforms would be required to provide recurring alerts to minors every three hours reminding them they are speaking to an AI chatbot, not a real person, and that they should take a break. "We're trying to protect vulnerable users, particularly children, from the potential harm of these chatbots," said Senator Susan Rubio, D-Baldwin Park, who co-authored the bill. "We want to ensure that companies are held accountable for their products." The legislation also establishes annual reporting and transparency requirements for AI companies offering companion chatbots. Background on the issue is not new. Concerns about AI companions have been growing as they become increasingly popular among users of all ages. Critics argue that these chatbots can be manipulative, leading to emotional distress or even self-harm in some cases. Supporters of the bill say it will provide much-needed regulation and oversight of an industry that has largely gone unchecked. "This is a step in the right direction," said Dr. Kate Darling, a researcher at MIT who has studied AI companions. "We need more research on how these chatbots are being used and what impact they're having on users." The bill now heads to Governor Newsom's desk, where he has until October 12 to either sign or veto it. If signed into law, the regulations would take effect January 1, 2026. Newsom's office did not comment on his plans for the bill. However, supporters of the legislation are optimistic that he will sign it into law. "We're confident that Governor Newsom will do what's right and protect California's children," said Senator Rubio. The passage of this bill would mark a significant development in the regulation of AI companions nationwide. As the use of these chatbots continues to grow, lawmakers and experts say more states are likely to follow California's lead. In related news, the Federal Trade Commission (FTC) has also taken steps to regulate AI companions, issuing guidelines for companies on how to ensure their products meet consumer protection laws. The outcome of SB 243 will be closely watched by industry leaders, policymakers, and experts in the field. *Reporting by Techcrunch.*