California Bill Defeated - Would Have Prohibited Synthetic Data and AI Training with Research Subject Data (A.B. 2027) - Articles

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California Bill Defeated - Would Have Prohibited Synthetic Data and AI Training with Research Subject Data (A.B. 2027)

California Bill Defeated - Would Have Prohibited Synthetic Data and AI Training with Research Subject Data (A.B. 2027)

California A.B. 2027, legislation opposed by the Insights Association that would have prohibited the use of personal information provided by any research subjects (if they received an incentive for participation) for purposes of (1) training artificial intelligence (AI) systems or tools or (2) building synthetic data, personas or respondents, has died.

“While we presume Sacramento didn’t intend to hurt our industry, this bill could have crippled development of AI in the insights industry, a potential benefit to productivity, efficiency and decision-making across all sectors (including the public sector) who rely upon our work,” commented Howard Fienberg, Senior VP Advocacy for the Insights Association.

The bill died on May 14, 2026 when it was held under submission in the Assembly Appropriations Committee.

As IA reported to members on March 30 and May 11, the prohibition on AI training would have applied to employers or their partners/vendors using a worker’s personal information for AI training or for replacing the worker’s job. This would have impacted research subjects who receive incentives because the definition of a “worker” in A.B. 2027 includes an independent contractor. In this case, the use of a worker’s data “to replicate, automate, or replace a worker’s job” would have presumably included using a research subject’s data to create synthetic data or synthetic research subjects, and the like. Violations would have been punishable by the state Attorney General, public prosecutors, and private litigation.

Fienberg concluded that, “IA appreciates the California legislature for halting A.B. 2027. We will continue to reach out to the bill sponsor, should he wish to revive the bill next year, about the importance of a simple amendment to carve out research subjects participating in market research.”

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