New York Governor Kathy Hochul has signed the RAISE Act into law, requiring large frontier AI developers to publish safety frameworks and report serious incidents within 72 hours. The law, announced December 19, 2025 and now being widely reported on December 20–21, 2025, also creates a new AI oversight office in the state’s Department of Financial Services and authorizes multimillion‑dollar penalties for non‑compliance.
This article aggregates reporting from 4 news sources. The TL;DR is AI-generated from original reporting. Race to AGI's analysis provides editorial context on implications for AGI development.
The RAISE Act is a clear marker that state governments are no longer content to let Washington set the pace on AI safety. By legally mandating safety frameworks, incident reporting and an oversight office for “frontier” models, New York is turning what were previously voluntary commitments by labs like OpenAI, Google and Anthropic into hard compliance obligations. In practice, that means safety teams and policy staff move from “nice to have” to core infrastructure for any company training the largest systems.([governor.ny.gov](https://www.governor.ny.gov/news/governor-hochul-signs-nation-leading-legislation-require-ai-frameworks-ai-frontier-models?utm_source=openai))
Strategically, this law tightens the regulatory noose around the highest‑end models while leaving smaller startups mostly untouched, mirroring California’s SB 53 and creating a bi‑coastal de facto standard for US AI governance. For the biggest labs, operating in New York now means building auditable safety pipelines and being prepared for legal scrutiny if a model is stolen, misused for large‑scale crime, or exhibits dangerous capabilities. That raises the fixed cost of chasing the frontier and may push more consolidation toward players that can absorb compliance overhead.
For the broader race to AGI, the message is that political legitimacy is becoming as important as benchmark scores. Labs that want to keep scaling will need robust governance stories as much as bigger clusters of GPUs. New York’s move also sets up a looming constitutional fight with Trump’s executive order attempting to pre‑empt state AI rules, which could ultimately decide how fragmented or centralized US AI regulation becomes.([techcrunch.com](https://techcrunch.com/2025/12/20/new-york-governor-kathy-hochul-signs-raise-act-to-regulate-ai-safety/?utm_source=openai))
OpenAI is in early-stage talks to raise up to $100 billion in new funding that could lift its valuation to roughly $750–830 billion, according to multiple media reports citing unnamed sources.
DOE signed nonbinding MOUs with 24 AI and compute organizations to apply advanced AI and high-performance computing to Genesis Mission scientific and energy projects.
Google Public Sector and Google DeepMind will provide Gemini-based AI platforms and tools to DOE’s Genesis Mission, giving all 17 U.S. national laboratories secure access to frontier models such as Gemini for Government and the AI co-scientist system.
Preliminary talks for a potential funding round of up to $100 billion that would value OpenAI around $750 billion.
Waymo is reportedly negotiating a funding round exceeding $15 billion at around a $100 billion valuation to expand its robotaxi operations.


