Whenever stories like this pop up, there are inevitably a bunch of comments along the lines of “Sure, regulation may be tough but I’d rather have fair rules in place than a Mad Max style anarcho-capitalist hellscape!” But that is never the actual debate. Nobody is ever advocating for a Mad Max style anarcho-capitalist hellscape. However, what the argument is about is whether *this* regulation helps more than it harms, or if it entirely quashes an industry accidentally out of an abundance of caution. Or, to add another dimension of nuance, is a regulation that is appropriate in a nation in one time appropriate at a different time when circumstances change?
For example, there are many regulations that require more and more electronics and software in cars in order to achieve compliance (e.g. rear view cameras, software control systems for increasing efficiency). Perhaps if we have easy access to electronics, this is a reasonable cost to impose on auto manufacturers, because the safety gained is worth the tradeoff of increased costs and less competition. But say that our supply chain became weaker, and it was no longer a reasonable expectation that we could outfit every car with these electronics. How do we walk that regulation back? Or do we say that we’re willing to just dramatically reduce the number of cars on the road, even without concomitant improvements in urban planning and non-auto transportation, and forget everybody who can’t afford it?
Same with healthcare. We put so many documentation and IT requirements on doctors, that this has led to a dramatic reduction in individual health providers and an increase in giant hospital systems, because who can juggle all these requirements with a staff of one doctor, one nurse, and one secretary? The giant hospital systems are still suffering from personnel shortages, because even just meeting this regulatory requirements causes burnout and high costs (see the explosive rise in hospital administrators)
https://www.athenahealth.com/k... . We *could* walk back some of those regulatory requirements, because they cause explosive costs without concomitant improvement in healthcare outcomes, but that would mean recognizing that just because a regulation was made with good intentions does not mean it has good outcomes, even by its own standards.
With AI, it’s even more frustrating because many of the harms that the regulations are intended to curtail are abuses by monopolies, but in reality many of the survivors of the regulatory environment will be monopolies, and the people who will lose out are small businesses and hobbyists. It would be like if the moment the Personal Computer, the Amateur Radio, and the independent video game were starting to be built up by hobbyists, regulators came in so hard and fast, requiring such onerous restrictions to make sure nothing bad can ever happen (e.g. a hobbyist shocking themselves when wiring their radio up), that only IBM, Motorola, and EA lock up their respective industries before any competitors can even gestate. Would the Apple II or DOOM ever be created if regulators had the same attitudes back then for those industries as they do today for AI?
The EU absolutely aborted its AI industry in utero. OpenAI/Google/Microsoft won’t notice, but every enterprising AI hobbyist knows to stay far, far away from the EU.