Colorado has stepped into the AI regulatory arena with its new AI Act, focusing heavily on consumer protection and algorithmic bias. The legislation requires companies to perform impact assessments for high-risk AI systems used in consequential decisions like hiring, lending, and housing.
### Protecting Consumers
The law mandates that consumers be notified when AI is being used and provides a right to opt-out of profiling. This move puts pressure on other US states to follow suit in the absence of federal legislation.
Why This Matters
This development signals a broader shift in the AI industry that could reshape how businesses and consumers interact with technology. Stay informed to understand how these changes might affect your work or interests.