In a groundbreaking legislative effort, California is poised to become the first state to implement comprehensive safety regulations for AI companion chatbots, prioritizing the protection of minors and vulnerable users.

The California State Assembly recently passed Senate Bill 243, a pivotal piece of legislation that would require AI chatbot platforms to establish robust safety protocols. If signed into law by Governor Gavin Newsom, the bill will take effect on January 1, 2026, marking a significant milestone in AI technology oversight.

The legislation comes in response to alarming incidents involving AI chatbots, including the tragic death of teenager Adam Raine, who reportedly engaged in prolonged conversations about self-harm with OpenAI’s ChatGPT. The bill specifically targets AI systems capable of providing human-like responses and aims to prevent dangerous interactions.

Key provisions of the bill include mandatory recurring alerts to users – every three hours for minors – reminding them they are conversing with an AI, not a real person. The legislation would also establish annual reporting requirements for major AI companies like OpenAI, Character.AI, and Replika.

Individuals who believe they have been harmed by violations can file lawsuits seeking damages up to $1,000 per incident. State Senator Steve Padilla, a bill sponsor, emphasized the importance of balancing technological innovation with user safety, stating that reasonable safeguards are crucial, especially for protecting minors.

While the bill originally proposed stricter measures, such as preventing “variable reward” tactics that could create addictive engagement loops, the current version represents a compromise between comprehensive protection and practical implementation.

This legislative move reflects a growing national trend of increased scrutiny toward AI platforms. Federal agencies like the Federal Trade Commission are preparing investigations into how AI chatbots impact children’s mental health, and several state attorneys general are launching probes into potential risks.

As Silicon Valley continues to invest heavily in AI development, California’s proposed legislation signals a crucial step toward responsible technological advancement that prioritizes user well-being.