This Week in Business How California’s New AI Law Seeks to Safeguard Children
Nov 19, 2025
Kevin Werbach, a professor at the Wharton School specializing in technology policy, dives deep into California's new AI child-protection bill. He discusses the bill's intent and limitations, highlighting the focus on companies actively serving children. The conversation explores the role of state versus federal regulation and the need for tailored protections due to children's online vulnerabilities. Kevin emphasizes that legal liability will push companies to prioritize child safety, countering fears that such regulations stifle innovation.
AI Snips
Chapters
Transcript
Episode notes
Bill Is More Signal Than Sweeping Change
- California's new bill mainly signals intent rather than sweeping regulation of AI aimed at kids.
- It places obligations on companies that knowingly provide AI services to children and sets expectations for action.
States As Laboratories For AI Rules
- States are acting as regulatory laboratories while Congress stalls on federal AI rules.
- Kevin Werbach argues a balance is needed to avoid 50 inconsistent laws but also not to leave harms unaddressed.
Age Verification Limits Child Protections
- Age verification and COPPA limitations complicate protecting children online.
- Werbach notes companies recognize distinct risks to kids and must step up governance beyond current privacy rules.