Synopsis: In this Techstrong.ai Leadership Insights interview, Fusion Collective CEO Yvette Schmitter discusses how artificial intelligence laws, including New York State’s RAISE Act, are being significantly diluted by lobbying efforts before they are signed into law. She examines the implications for AI governance, accountability, and public trust.
Schmitter walks through the gap between what New York legislators approved and what ultimately became law, arguing that key protections were stripped out during late-stage lobbying. She points to the removal of mandatory independent audits, the shift toward self-certification, and the weakening of whistleblower protections as signals that the burden is being pushed away from model developers and onto the public. She also highlights how penalties were reduced and how the act’s scope moved from compute thresholds to revenue-based thresholds, which she says opens the door to corporate restructuring that can sidestep oversight.
Schmitter also describes how states are trying to regulate AI while facing pressure from both industry and Washington. She raises questions about enforcement, who counts harms, and what happens when regulators lack technical expertise. Her bottom line: without durable guardrails, trust will erode, and the backlash may arrive only after real damage is done.
Whether it’s legislation or a software license, the lesson is the same: read the fine print
