Science & Technology

China Publishes Final Version of Rules for Use of Generative AI

The Chinese authorities have published a list of operating principles for generative artificial intelligence services.

China Publishes Final Version of Rules for Use of Generative AI

In this case, China has become one of the world leaders in regulating the distribution and use of digital products based on a new generation of technology. The rules were developed by the Cyberspace Administration of the country, the main regulator of processes in the virtual space, and will come into effect on August 15 this year. The relevant information is contained in the statement of the supervisory authority, which was published on Thursday, July 13.

The list of guidelines that in China will become the regulatory framework governing activities in the field of generative artificial intelligence includes 24 provisions. Among the rules, there is a requirement that AI platforms are required to conduct a security check of their service. The list of rules also imposes on companies offering digital products based on a new generation of technology to officially register their business with the government. The same rule was contained in the draft version of the guidelines, which was published in April.

The final version of the rules for the AI industry in comparison with the draft includes additional provisions. For example, the revised regulatory framework provides that offshore suppliers of generative artificial intelligence tools that are targeted at residents of China should coordinate the specifics of their activities with the guidelines formulated by the regulator. At the same time, this system of rules removes a similar obligation from Chinese developers of such tools if they are focused on foreign markets.

Frances Du, founding partner of J Ventures, commenting on the list of guidelines published by the Chinese regulator, said that generative artificial intelligence applications for enterprises will receive expanded functionality, and people will begin to carry out entrepreneurial activities aimed at the consumer more carefully. This statement is a private opinion, so it should not be taken as an accurate forecast. In addition, Frances Du did not specify which guidelines indicate that AI configurations will receive additional capabilities.

The final version of the system of rules for the activities of artificial intelligence developers also differs from the draft version in that it does not provide for fines of up to 100 thousand yuan (14 thousand US dollars) for violations of the norms. The requirement that AI platform operators must work during a three-month grace period to fix problematic content was also eliminated.

Also, the final version of the guidelines expands the list of joint issuers of the regulations, adding the National Commission for Development and Reforms, the Ministry of Education, and the Ministry of Science. Another addition was measures to encourage Chinese developers of chips and software for artificial intelligence, as well as creators of digital mind configurations to help formulate global standards and participate in technological exchanges.

The final version of the guidelines appeared after several months of consultations, the participants of which were the government and the largest representatives of the industry, including Internet companies Alibaba Group, Baidu, and JD.com. According to media reports, Chinese developers of AI models and products based on advanced technology are interested in creating a local analog of ChatGPT.

Through the introduction of regulatory measures, China seeks to create a unified concept for the orderly development of the field of artificial intelligence and define uniform principles for the dissemination of AI as a service for businesses and consumers.

Legal experts expressed concern after learning about the Chinese draft guidelines for the artificial intelligence industry. They stated that this regulatory framework provides for the responsibility of AI platform operators for managing the content generated by the technology. In their opinion, this commitment may cause a decline in the pace of development of the industry. Experts pay special attention to the fact that a likely slowdown in development may occur during the confrontation between China and the United States in the technology sector, which is of a strategic nature.

You Chuanman, director of the IIA Center for Regulation and Global Governance at the Chinese University of Hong Kong’s Shenzhen campus, is more positive about the guidelines unveiled by the Chinese regulator. According to him, there are many provisions in this set of rules that contribute to the development of the industry, and much attention is paid to the concept of applying existing legal mechanisms in the area of artificial intelligence.

As we have reported earlier, Morgan Stanley Upgrades Asia Chip Stocks on AI Clamor.

Serhii Mikhailov

2257 Posts 0 Comments

Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.