Protecting Consumers from Deceptive AI Act

Apr 23, 2026
Apr 23, 2026

Summary

Creates rules to make sure audio and video made by AI is clearly marked, so people know it's not real.

What problem does this solve?

It is becoming very hard for people to tell the difference between real content and fake content made by AI, which is used for scams and to spread false news. This bill requires AI-made content to be labeled, helping people know what is real and what is fake.

What does this bill do?

Requires disclosure for AI-generated content
Makes companies that create AI tools add a hidden, machine-readable label to any audio or video their AI makes. This label shows that the content was made by AI.
Establishes AI standards task forces
Directs the National Institute of Standards and Technology (NIST) to create groups with experts from government, tech companies, and universities. These groups will develop standards for watermarking and labeling AI content.
Mandates online platforms to display AI labels
Requires large online platforms like social media sites and search engines to show users when a piece of content is AI-generated. They are not allowed to remove the AI disclosure labels.
Grants enforcement power to the FTC
Gives the Federal Trade Commission (FTC) the power to enforce these rules. Breaking the rules will be treated as an unfair or deceptive business practice.
Allows for self-regulation
Permits companies to create their own set of rules for labeling AI content. If the FTC approves these guidelines, following them will count as following the law.

Who does this affect?

  • Generative AI technology developers
  • Large online platforms (social media, search engines)
  • Consumers of online content

What is the real world impact?

Protects consumers from scams
Aims to stop people from being tricked by fake ads or scams that use AI to look real, like a fake video of a celebrity selling a product.
Secures elections and national security
Helps prevent the spread of fake information that could confuse voters or cause panic, such as a fake video of a politician or a fake image of a national disaster.
Creates a technical and regulatory burden
Places new rules on tech companies that develop AI and run large online platforms. Some may argue these rules are difficult to enforce and could slow down innovation.

When does this start?

The main rules will take effect 90 days after the Federal Trade Commission creates final regulations, which it has up to two years to do.
NIST task force creation
The National Institute of Standards and Technology must create task forces within 90 days after the bill becomes law.
Task force recommendations
The task forces must give their recommendations for AI standards to the NIST Director within 270 days of being created.
FTC rulemaking deadline
The Federal Trade Commission must publish its final rules for AI content labeling within 2 years after the bill becomes law.
Effective date for AI labeling rules
The requirements for AI applications and online platforms to label AI content will start 90 days after the FTC's regulations take effect.