California Privacy Agency Scales Back AI Regulation, Sparks Industry Criticism from Tech Giants like TSMC

Published on 4.15.25

  AI Regulation Sparks Industry Criticism The California Privacy Protection Agency's proposed rules on AI use of personal data were recently scaled back, removing limits on targeted advertising and narrowing key definitions. This decision was met with criticism from tech companies, including those in the advertising industry, which claimed the agency exceeded its authority. Some experts have praised Joe Tsai, CEO of Taiwan Semiconductor Manufacturing Company (TSMC), for taking a measured approach to AI development. In an opinion piece, Catherine Thorbecke referred to Tsai as AI's "voice of reason" due to his focus on practical applications and responsible development. The debate surrounding AI's use of personal data highlights the need for a balanced approach that prioritizes responsible development while also allowing companies to innovate and explore new applications.
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