OpenAI Seeks Harmonized California Regulations Amid Regulatory Chaos

OpenAI, the company that opposed California's AI safety legislation last year, has made an about-face and is now urging the state to write stronger regulations. In a letter to Governor Gavin Newsom dated August 12, 2025, OpenAI argued that stricter rules would help reduce chaos in the regulatory environment.

The company wants California to implement harmonized AI regulations that align with emerging federal and international frameworks, citing the need for consistent standards.

OpenAI supports measures like AI watermarking, which would make it easier to identify AI-generated content, as well as transparency requirements along the lines of SB 53. However, the company draws the line at provisions it considers overly burdensome, such as early safety testing mandates.

Ann O'Leary, OpenAI's VP of global policy, emphasized that state policymaking is crucial to US AI governance and that California's leadership in transparency laws offers an opportunity to address significant issues like catastrophic risk and child safety.