New York Governor Kathy Hochul has signed the RAISE Act into law, making New York the second U.S. state to pass comprehensive AI safety legislation. The law, which was originally passed by the state legislature in June, underwent revisions after significant lobbying from the tech industry. While Hochul initially proposed scaling back the bill, she ultimately agreed to sign the original version, with lawmakers committing to implement her requested changes in the coming year. The RAISE Act mandates that large AI developers disclose their safety protocols and report any safety incidents to the state within 72 hours. It also establishes a new office within the Department of Financial Services to oversee AI development and ensure compliance. Companies that fail to submit required reports or provide false information face penalties of up to $1 million, with fines increasing to $3 million for repeat violations. Hochul emphasized the law’s role in addressing a regulatory gap, noting that it builds on California’s recently enacted AI safety framework. “This law builds on California’s recently adopted framework, creating a unified benchmark among the country’s leading tech states as the federal government lags behind, failing to implement common-sense regulations that protect the public,” she said in her announcement. State Senator Andrew Gounardes, a key sponsor of the bill, praised the outcome, stating, “Big Tech thought they could weasel their way into killing our bill. We shut them down and passed the strongest AI safety law in the country.” Support for the legislation has been mixed. OpenAI and Anthropic have both expressed backing, with Anthropic’s head of external affairs, Sarah Heck, telling The New York Times that the law’s passage in two major states signals the growing importance of AI safety and should prompt Congress to act. “The fact that two of the largest states in the country have now enacted AI transparency legislation signals the critical importance of safety and should inspire Congress to build on them,” she said. However, not all in the tech sector are in favor. A super PAC backed by venture capital firm Andreessen Horowitz and OpenAI President Greg Brockman is now targeting Assemblyman Alex Bores, who co-sponsored the bill with Gounardes. Bores responded to the pushback with a wry comment: “I appreciate how straightforward they’re being about it.” The state’s new law comes amid a broader national debate over AI regulation. President Donald Trump recently signed an executive order directing federal agencies to challenge state-level AI laws. The order, supported by Trump’s AI czar David Sacks, is part of a larger effort to limit states’ authority to regulate AI. Legal challenges to the order are expected, as it raises questions about federal preemption and the balance of power between state and national governments. The role of Sacks and a16z in opposing state regulation has been a central topic in recent discussions, including on the latest episode of the Equity podcast.