California AI Transparency Act (SB 942 / AB 853 / SB 1000)
California · Cal. Bus. & Prof. Code § 22757 et seq., as amended by SB 1000 (Chapter 861, 2026) · effective 2026-08-02 · Operative Aug 2, 2026 (§ 22757.6). SB 1000, an urgency law effective Sept 30, 2026, removed the one-million-user threshold and the visible-label duty, renamed the AI detection tool a disclosure verification tool, and added a $50,000 penalty for falsely claiming a system is assistive technology. AB 853 added duties for large online platforms (Jan 1, 2027; § 22757.3.1), GenAI hosting platforms (Jan 1, 2027; § 22757.3.2) and capture device makers (Jan 1, 2028; § 22757.3.3).
Summary
From Aug 2, 2026, anyone who creates, codes or produces a generative AI system that is publicly accessible in California is a covered provider, with no size threshold since SB 1000. A covered provider must offer a free disclosure verification tool and, where technically feasible, embed a latent (machine-readable) provenance disclosure in images, audio and video the system creates or alters. From Jan 1, 2027, large online platforms (social media, file-sharing, mass messaging and search services with over two million monthly users) must detect standards-based provenance data, show users what it says and let them inspect it, and must not knowingly strip it. Also from Jan 1, 2027, hosting platforms must not knowingly offer a GenAI system that does not place these disclosures. From Jan 1, 2028, new cameras and phones sold in California must embed provenance by default. A business that only uses another company's AI tool is not a covered provider for that reason, but a small business that builds and publishes its own generative AI system can be. AI images and video posted to large platforms will show the provenance data they carry.
Who must comply
Anyone who creates, codes or produces a generative AI system publicly accessible in California, at any size; large online platforms with 2M+ monthly users; GenAI hosting platforms; capture device manufacturers.
What you must disclose
Latent provenance disclosures in AI-generated images, audio and video, where technically feasible; platform display of provenance to users from 2027. The law no longer requires an optional visible label.
When: At generation (covered providers, from Aug 2, 2026); at distribution (large platforms, from Jan 1, 2027); at capture (devices first produced for sale from Jan 1, 2028).
Other duties
- Covered providers must tell anyone they license a GenAI system to about these duties, and act within 72 hours if they learn a licensee changed the system so it no longer meets these rules.
- Businesses that only publish AI media have no duty under this Act, but keeping the provenance data their tools attach matches the rule platforms must follow. Check that your website or CMS keeps it on upload.
- Expect AI-made images and video posted to Instagram, YouTube, TikTok and similar to show their provenance data from 2027, and decide what your own site says about the same content.
Exemptions
- Products and services that provide only non-user-generated video games.
- GenAI systems designed to primarily function as assistive technology, until Jan 1, 2029.
- Platforms under the 2M monthly-user threshold; broadband and telecommunications services.
Penalties
$5,000 per violation; each day in violation is a separate violation. A prevailing plaintiff recovers attorney's fees and costs. Falsely claiming a system is assistive technology: $50,000 per violation, each day separate, until Jan 1, 2029.