California Governor Gavin Newsom has vetoed SB 1047, a significant bill aimed at establishing first-in-the-nation safety measures for large AI models, citing concerns that it could stifle innovation and impose overly stringent standards even on basic functions. The bill, supported by AI safety advocates, labor unions, and notable figures like Elon Musk, faced strong opposition from major tech companies like Google, Meta, and OpenAI, who argued it would harm California's leading position in the AI industry. Newsom instead called for a collaborative approach with industry experts to develop appropriate guardrails. The veto has sparked criticism from the bill's proponents, who argue it leaves the public vulnerable to the growing risks of advanced AI technologies. In contrast, Newsom has also updated California’s privacy law to include protections for neural data, reflecting his nuanced approach towards tech regulation.