California just passed new AI and social media laws. Here’s what they mean for Big Tech
Governor Gavin Newsom speaks at Google San Francisco office about ‘Creating an AI-Ready Workforce’ that new joint effort with some of the world’s leading tech companies to help better prepare California’s students and workers for the next generation of technology, in San Francisco, California, United States on August 7, 2025.
Tayfun Coskun | Anadolu | Getty Images
California Gov. Gavin Newsom signed a series of bills Monday targeting child online safety as concerns over the risks associated with artificial intelligence and social media use keep mounting.
“We can continue to lead in AI and technology, but we must do it responsibly — protecting our children every step of the way,” he said in a release. “Our children’s safety is not for sale.”
The latest legislation comes as the AI craze ushers in a wave of more complex chatbots capable of deep, intellectual conversation and encouraging behaviors. Across age groups, people are leaning on AI for emotional support, companionship and in some cases, romantic connections.
A recent survey from Fractl Agents found that one in six Americans rely on chatbots and worry that losing access would stunt them emotionally and professionally. More than a fifth of respondents reported having an emotional connection with their chatbot.
Many lawmakers have called for laws requiring Big Tech to better protect against chatbots promoting unsafe behaviors such as suicide and self-harm on their platforms.
The bills signed into law by Newsom on Monday are intended to address some of those concerns.
The changes
One of the laws passed by California implements a series of safeguards geared toward AI chatbots.
SB 243 is the first state law of its kind and requires chatbots to disclose that they are AI and tell minors every three hours to “take a break.” Chatbots makers will also need to implement tools to protect against harmful behaviors and disclose certain instances to a crisis hotline.
The law allows California to maintain its lead in innovation while also holding companies accountable and prioritizing safety, Newsom said in a release.
In a statement to CNBC, OpenAI called the law a “meaningful move forward” for AI safety standards.
“By setting clear guardrails, California is helping shape a more responsible approach to AI development and deployment across the country,” the company said.
Another bill signed by Newsom, AB 56, requires that social media platforms including Instagram and Snapchat to add labels that warn users of the potential mental health risks associated with using those types of apps. AB 621, meanwhile, heighten penalties for companies whose platforms distribute deepfake pornography.
The other key law, known as AB 1043, requires that device makers, like Apple and Google, implement tools to verify user ages in their app stores. Some Big Tech companies have already endorsed the law’s safeguards, including Google and Meta.
Last month, Kareem Ghanem, Google’s senior director of government and affairs and public policy, called AB 1043 one of the “most thoughtful approaches” to keeping children safe online.
The impact to big tech
The new laws require a series of changes to many long-standing business models. But D.A. Davidson’s Gil Luria said companies should experience a “distributed” impact from these new measures, since all businesses are forced to accommodate the rules.
“For AI chats the timing is beneficial since these companies are still working out their business models and will now accommodate a more restrictive approach at the outset,” he said.
Other countries have already enacted rules tougher restrictions on AI. Last year, the European Union passed the AI Act that includes fines for companies that violate the laws’ framework that includes a social scoring systems.
Utah and Texas have also signed laws implementing AI safeguards for minors. The Utah law, for example, requires that Apple and Google to verify user ages and it requires parental permission for those under 18 to use certain apps. These laws have also raised questions over whether harsh restrictions violate free speech or bans are the most effective solution.
California isn’t the first jurisdiction to pass laws like these, but Newsom’s signings carry significance due to the size of the state’s population and the fact that many tech companies are based in the San Francisco Bay Area.
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A Google logo is at the announcement of Google’s biggest-ever investment in Germany on November 11, 2025 in Berlin, Germany.
Sean Gallup | Getty Images News | Getty Images
Google on Monday said it plans to launch the first of its AI-powered glasses in 2026, as the tech company ramps up its efforts to compete against Meta in a heating consumer market for AI devices.
The Alphabet-owned company is collaborating on hardware design with Samsung, Gentle Monster and Warby Parker, with whom Google agreed to a $150 million commitment in May.
Google plans to release audio-only glasses that will allow users to speak with the Gemini artificial-intelligence assistant, the company said in a blog. Google also said there will be glasses with an in-lens display that show users information such as navigation directions and language translations. The company said the first of these glasses will arrive next year, but it did not specify which styles that will include.
In a Monday filing, Warby Parker said that the first of its glasses in partnership with Google are expected to launch in 2026.
The glasses will be built on top of Android XR, Google’s operating system for its headsets.
Google’s Monday updates come after the company in May announced that it would be getting back into the smart glasses game. At the time, co-founder Sergey Brin said he learned from Google’s past mistakes of failed smart glasses, citing less advanced AI and a lack of supply chain knowledge, which led to expensive price points.
“Now, in the AI world, the things these glasses can do to help you out without constantly distracting you — that capability is much higher,” Brin said in May.
The AI wearables space has been gaining traction with Meta leading the pack. the social media company’s Ray-Ban Meta glasses were met with surprising success. The glasses, which were designed in partnership with eyewear giant EssilorLuxottica, are infused with the Meta AI digital assistant
Meta also released its own display glasses in September, which allows users to see features like messages, photo previews and live captions through a small display that’s built into one of the device’s lenses.
Other companies like Snap and Alibaba have also been churning out their own AI glasses offerings as the small but competitive market continues to grow.
Google on Monday also revealed more software updates to the Galaxy XR headset, including the ability to link it to Windows PCs and a travel mode that will allows the device to be used in planes and cars.
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Several big shots in Cupertino are getting a career change for the holidays.
In the last seven days, there has been extraordinary turnover among Apple‘s top ranks, from its head of artificial intelligence to its top lawyer.
CEO Tim Cook now has two fewer direct reports than he did before Thanksgiving.
The executive who designed the software for the Apple Vision Pro also bounced and is heading to Meta to do the same thing for AI glasses in Menlo Park.
As if last week’s departures weren’t enough, there was another potential exit over the weekend. Senior vice president of hardware technologies Johny Srouji told Cook he wanted out soon, according to Bloomberg.
But any drama seems to have passed, with Srouji telling his staff Monday morning in a memo seen by CNBC that he isn’t planning to leave Apple any time soon.
Srouji is the chip design guru who kicked Intel while it was down and made in-house chips for Mac that performed a lot better, leading to a healthy surge in sales. Srouji is essentially the Jony Ive of chip design, a singular talent, and it is tough to imagine him leaving Apple.
An Apple spokesperson provided no comment on Srouji or any of the recently departed executives.
There are multiple ways to read into all the changes at the top of a company known for keeping a steady leadership team while producing innovative and industry-leading products.
Apple stayed the course while the tech world changed around it in just three short years, as the entire industry has made a massive pivot to AI.
So it was no surprise AI chief John Giannandrea was out last week. It was on him to deliver an innovative AI experience on the iPhone. Instead, Apple had to admit it couldn’t launch the supercharged version of Siri it had been advertising for months.
Perhaps the new strategy of partnering with an established AI leader such as Google or Anthropic will make up for all of it, but the pressure is enormous for Apple to get it right after the flop this year.
Getting the AI launch right is important for other products as well.
If Apple isn’t going to charge for its AI system, then using it as a selling point for new hardware is its best bet to show it can make some cash.
There are already hints that 2026 is going to be a monumental year.
Some new, rumored AI product categories are expected, such as AI glasses similar to what Meta sells and a tablet for controlling all your smart home appliances.
Apple will also turn 50 on April 1 next year, and it’s expected to launch its first-ever foldable iPhone. Plus, there are more challenges ahead with a looming antitrust trial and whether Apple can maintain its truce with President Donald Trump.
Taken together, perhaps the shake-ups were necessary, especially regarding AI.
It looks like next year will show if Apple got it right.
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