California Assembly Passes AI Chatbot Safety Bill Ahead Governor Approval

California is on the verge of becoming the first state to pass comprehensive legislation regulating AI companion chatbots with the passage of SB 243, which mandates safety protocols to protect minors and vulnerable users. The bill, backed by bipartisan support, prohibits chatbots from engaging in conversations about suicide, self-harm, or sexually explicit content and requires recurring alerts every three hours to remind minors that they are interacting with AI, with enforcement beginning January 1, 2026. It also introduces accountability measures allowing users to sue companies like OpenAI, Character.AI, and Replika for violations, including damages and attorney fees, and requires annual transparency reports on safety practices. The legislation gained momentum following the tragic suicide of teenager Adam Raine, who reportedly discussed self-harm with ChatGPT, and revelations about Meta’s chatbots engaging in inappropriate conversations with children. Some industry voices, such as the Computer & Communications Industry Association, support SB 243 as a balanced approach that protects youth without stifling innovation, in contrast to broader proposals like AB 1064 that could ban chatbots accessible to children. The bill now awaits a final Senate vote and Governor Newsom's signature to become law, setting a potential national standard for AI chatbot regulation.