🇺🇸BREAKING: Treasury Secretary Bessent declares the US will NOT take liability for AI labs. "Imagine these labs said there's a 10% chance of an extinction level event, then asked to take the liability off their hands. We will not do that." "These labs need to take responsibility for themselves.... They can slow down anytime they want to."show more

If theres an extinction level event, there wont be any liability because everyone will be dead Am I the only one who understand this?

The takeaway, we have our bunkers and escape routes. Fend for yourselves this is a you problem.

honestly if there's a 10% chance of extinction liability feels like the wrong tool

Well, if there’s an extinction event, it’s too late for a liability isn’t it? Government needs to do the job of government which is to protect citizens from harm.

Bessent refusing to shield AI labs from liability is a huge reality check for the industry. If there's even a 10% chance of an extinction event, someone has to be accountable. This could introduce serious regulatory friction. Thanks, @RitadeCSB!

The takeaway, we have our bunkers and escape routes.

if labs control development, deployment, and safety decisions, they should not be able to transfer the downside to taxpayers while retaining the upside

Mmmm, well I feel reassured.

Bessent refusing to take liability off AI labs is the right call. You and @reynosismo_ are the two accounts I most enjoy following

The harder policy question is how liability should work when harm crosses firms and borders. Clear ex ante rules may matter more than simply assigning responsibility after an autonomous system causes damage.

The government refusing AI liability is a backdoor subsidy for large labs. Small labs can't afford the insurance or reserves, so consolidation accelerates faster than any regulation could have forced it.

Kind of a tone deaf comment

Fear is one hell of a drug

Uầy

If the labs believe their own systems could cause catastrophic harm, asking taxpayers to pick up the liability bill is a pretty wild business model 😂 Build the AI, secure it, and own the consequences.

ten percent extinction risk finally found treasury's liability desk.

Making labs carry the risk is how you get a real number for it. Once insurers have to quote a premium, the market prices safety better than any press statement. DeFi learned this the hard way: audits are cheap talk, cover costs are the honest signal.

So who’s responsible when something goes wrong?

Hard to ask taxpayers to underwrite existential risk while founders cash out the upside. Accountability usually follows the capital.

labs pricing their own tail risk instead of socializing it changes the insurance math for every AI capex trade riding on nvda and amd