SEC Urges AI Firms: Implement Guardrails for Compliance

Companies Must Implement Guardrails for AI, Urges SEC Chair

In a significant declaration that could reshape the corporate landscape, U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler emphasized the critical need for accurate information disclosure by companies, particularly those harnessing artificial intelligence (AI). This statement came in the wake of a sizable forecast error by Lyft, which had a dramatic, albeit brief, impact on its share price, igniting a discussion on regulatory scrutiny and corporate responsibility.