11547.6.
(a) For purposes of this section:(1) “Artificial intelligence” or “AI” means a machine or software that has the capacity to mimic human cognitive functions, including, but not limited to, learning, problem solving, and patter recognition, which enables the machine or software to perform tasks that normally require human intelligence. AI includes various subfields, including, but not limited to, machine learning, natural language processing, and large language models.
(2) “AI-generating entity” means an entity, including a business, that generates, creates, or otherwise produces AI-generated materials.
(3) “AI-generated materials” means content that is produced by AI technology, including, but not limited to, text, images, audio, or synthetic data.
(4) “Covered AI-generated material” means AI-generated material that does any of the following:
(A) Impersonates a specific individual or group of individuals.
(B) Is represented as original material by an AI-generating entity that produced the material, including, but not limited to, artwork, songs, or news media.
(C) Meets criteria as established by the Department of Technology.
(5) “Business” has the same meaning as defined in Section 1798.140 of the Civil Code.
(6) “Deepfake” and “digital content provenance” have the same meaning as those terms are defined in Section 11547.5.
(7) “Department” means the Department of Technology.
(b) (1) An AI-generating entity shall not create covered AI-generated material unless the material includes a watermark that meets the standards established by the department under subdivision (d).
(2) The requirement under paragraph (1) shall become operative on the date that is one year after the date on which the department issues the regulations to establish standards as required under subdivision (d).
(c) (1) An AI-generating entity or individual that creates a deepfake using a person’s name, voice, signature, photograph, or
likeness, in any manner, without permission from the person being depicted in the deepfake, shall be liable for damages sustained by the person or persons injured as a result thereof.
(2) In an action brought under this section, the AI-generating entity that violates this section shall be liable to the injured person or persons the actual damages suffered by the person or persons as a result of the unauthorized use.
(d) The department shall issue regulations to establish standards for the watermarks required under subdivision (b). The department’s standards shall require, at minimum, an AI-generating entity to include digital content provenance in the watermarks.
(e) (1) An AI-generating entity that violates this section shall be subject to a civil penalty assessed by the department.
(2) The amount of the civil penalty, as determined by the department, shall be not less than two hundred fifty dollars ($250) or more than five hundred dollars ($500).