Welcome to The Hill's Technology newsletter {beacon} Technology Technology   The Big Story  AI regulation faces uncertainty after Newsom veto  California Gov. Gavin Newsom's (D) veto of a sweeping artificial intelligence (AI) bill is renewing the debate over the future of regulation of the technology.  © Stephen Lam, San Francisco Chronicle via AP While Newsom’s veto of California Senate Bill 1047 may have put the contentious measure to rest — at least for now — it has left different sectors of the tech industry largely in disagreement on the best path forward.    Some tech advocacy groups quickly voiced their disappointment with the veto of S.B. 1047 — the Safe and Secure Innovation for Frontier Artificial Intelligence Models Act — arguing California missed the chance to lead with first-of-its-kind regulations on some of the country’s largest AI developers.   “[S.B. 1047] was the first of its kind legislation that went and put real safeguards in place for some of the biggest and scariest unknown potential uses of AI — which, particularly given the rapid advancement of the technology, is really important for us to have those guardrails in place moving forward,” Kaili Lambe, the policy and advocacy director for Accountable Tech, told The Hill.     S.B. 1047 would have required powerful AI models to undergo safety testing before being released to the public. Testing would have examined whether these systems could be manipulated by malicious actors for harm, such as hacking into the state’s electric grid.   It also sought to hold AI developers liable for severe harm caused by their models but would have only applied to AI systems that cost more than $100 million to train. No current models have hit that number yet.   Landon Klein, the director of U.S. policy for the Future of Life Institute (FLI), told The Hill there is a timely need for regulation to keep up with the rapid development. The FLI is a nonprofit focused on the existential risks to society.   “One year is a lifetime in terms of the generations of these systems, and there’s considerable risk over the course of that year,” he said. “And we also run the risk of sort of this broader integration of the technology across society that makes it more difficult to regulate in the future.”   Meanwhile, some AI or software experts are cautioning against the push for regulation and applauded Newsom’s move to veto the bill.   Some told The Hill that more evidence is needed before lawmakers start placing guardrails on the tech. This includes further research on the specific risks of AI development and the most effective response when these are identified, experts said.     Welcome to The Hill’s Technology newsletter, we're and Miranda Nazzaro — tracking the latest moves from Capitol Hill to Silicon Valley.   Did someone forward you this newsletter? Subscribe here.   Essential Reads  How policy will be impacting the tech sector now and in the future:   Biden signs bill cutting environmental reviews for semiconductor industry President Biden on Wednesday signed legislation exempting semiconductor manufacturing facilities from environmental reviews — despite objections from some Democrats and green activists who have expressed concerns about the potential for toxic waste. The White House statement saying that Biden signed the bill did not contain any other commentary. The legislation specifically exempts semiconductor manufacturing facilities that …  Full Story   Women of color running for Congress disproportionately targeted by offensive speech on X: Report Congressional candidates who are women, specifically those of color, are more likely than other candidates to be targeted by offensive or hate speech on the social platform X, according to a new study. The analysis, released Wednesday by the nonprofit Center for Democracy and Technology (CDT) and the University of Pittsburgh, looked at tweets posted between May 20 and Aug. 23 of this year that mentioned any congressional candidate …  Full Story   4 in 10 Americans think generative AI will reduce jobs: Report Nearly 4 in 10 Americans in a new analysis believe generative artificial intelligence (AI) could diminish the number of available jobs as the technology advances.   The study, published Wednesday by the New York Federal Reserve’s Liberty Street Economics blog, found relatively few people have used generative AI models, though those who have used them have a more negative prediction for their effect on jobs and future inequality.   …  Full Story   The Refresh  News we've flagged from the intersection of tech and other topics:   Facebook has paid content creators $2 billion Meta says creators were paid over $2 billion on Facebook this year, while payouts for Reels and other short videos increased more than 8- percent, TechCrunch reported.   OpenAI reaches deal valuing the company at $157 billion OpenAI said Wednesday it completed a $6.6 billion fundraising deal which values the company at $157 billion, nearly double the company's valuation from about nine months ago, The New York Times reported.   What Others are Reading  Two key stories on The Hill right now: Democrats see signs of growing momentum in Texas Senate race Democrats are seeing signs of growing momentum in the Texas Senate race between Sen. Ted Cruz (R) and Rep. Colin Allred (D), fueling the party’s hopes … Read more 5 things to know about the port strike Dockworkers and longshoremen in East Coast ports are now on strike in a major labor action with real consequences for the U.S. and international economy. … Read more   What Others are Reading  Opinions related to tech submitted to The Hill: Europe’s difficult path on China’s EVs is a lesson for North America Beijing’s nickel glut leaves America penniless      You're all caught up. See you tomorrow!