Pennsylvania Bans Deceptive AI-Generated Advertisements
Governor Josh Shapiro signs Act 99 to mandate transparency in AI-generated marketing.
New Regulations for Digital Advertising
A new law regulating the use of artificial intelligence (AI) has been enacted in Pennsylvania. On 22 October, Governor Josh Shapiro signed the "Deceptive AI Advertising Act," known as Act 99. The legislation aims to protect consumers from advertisements that use AI to create false impressions regarding the origin, nature, or authenticity of products and services.
The law applies to "synthetic content," which includes videos, audio recordings, and visual materials that have been significantly modified or entirely generated by AI. Advertisers are now required to clearly indicate that the material contains AI-processed elements. This disclosure must be immediately visible to the consumer in the same format as the advertisement itself.
What the Law Requires
The document details how "clear and conspicuous" labeling should appear. For audio advertisements, the warning must be distinct and easily understood, while for visual materials, the text must remain on screen for a sufficient duration. In print media and on billboards, the text must contrast sharply with the background to ensure it easily catches the consumer's attention.
The legislation includes specific exemptions. Labeling is not mandatory for content that is satirical, parodic, critical, or clearly fictional. Additionally, the regulation does not apply to text-only content, which clarifies the scope of the law.
Penalties and Enforcement
In the event of a violation, the state attorney general or district attorneys are authorized to file a lawsuit. Violators may face fines of $3,000, in addition to court and legal fees. The law will take effect on 21 December, providing companies with sufficient time to adapt.
The bill’s author, Senator Nick Pisciottano, noted that consumers have a right to know when they are being targeted by AI-driven manipulation. This move is part of a global trend where tech giants such as OpenAI and Google are already implementing watermarks or detectors to identify AI-generated content. For international observers, this serves as a significant signal, as global technology policy increasingly focuses on the transparency and responsible use of artificial intelligence.