Regulation
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Office of Governor Kathy Hochul
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Sunday, December 21, 2025

New York RAISE Act sets tough transparency rules for frontier AI

Source: EngadgetRead original
Governor Hochul signs New York's AI safety act

TL;DR

AI-Summarizedfrom 4 sources

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.

About this summary

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.

Race to AGI Analysis

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))

Impact unclear

Who Should Care

InvestorsResearchersEngineersPolicymakers

Companies Mentioned

OpenAI
OpenAI
AI Lab|United States
Valuation: $500.0B
Private company - No stock data
Anthropic
Anthropic
AI Lab|United States
Valuation: $183.0B
Private company - No stock data
DeepSeek
DeepSeek
AI Lab|China
Valuation: $15.0B
Private company - No stock data
Google
Google
Cloud|United States
Valuation: $3790.0B
GOOGLNASDAQMarket Closed
At news: $307.16Now: $307.16
Meta
Meta
Consumer Tech|United States
Valuation: $1660.0B
METANASDAQMarket Closed
At news: $658.77Now: $658.77

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Coverage Sources

Engadget
Office of Governor Kathy Hochul
TechCrunch
News & Photo Features
Engadget
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Office of Governor Kathy Hochul
Office of Governor Kathy Hochul
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TechCrunch
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News & Photo Features
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