KABLAMO
A Misunderstanding of AI Could See Australia Adopt Suffocating Regulation
OpinionAugust 20206 min read

A Misunderstanding of AI Could See Australia Adopt Suffocating Regulation

Why policymakers need to understand AI before they regulate it, and how getting it wrong could stifle innovation

AW
Allan Waddell
Founder & Co-CEO, Kablamo
Originally published in SmartCompany
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As Australia considers how to regulate artificial intelligence, there's a real risk that misunderstanding of what AI actually is could lead to regulation that stifles innovation while failing to address genuine concerns.

"The biggest risk isn't that AI will be unregulated—it's that it will be regulated by people who don't understand it."

The Regulation Debate

There's been increasing pressure on governments worldwide to regulate AI. The European Union is leading the charge with comprehensive AI legislation. Australia is watching and considering its own approach.

But here's the problem: much of the public discourse around AI regulation is based on science fiction rather than science fact. We're regulating based on fears of Terminator-style superintelligence when the real challenges are far more mundane—and far more solvable.

What AI Actually Is

Most "AI" today is really sophisticated pattern matching. It's incredibly useful for specific tasks—recognising faces, translating languages, predicting outcomes based on historical data. But it's not "thinking" in any meaningful sense.

When policymakers don't understand this distinction, they write regulations that either miss the real issues entirely or impose burdens that make innovation impossible without actually protecting anyone.

What Regulation Should Focus On

1

Transparency in Decision Making
When AI affects people's lives, they should know it's being used

2

Accountability for Outcomes
Companies should be responsible for harm caused by their AI systems

3

Bias Testing and Mitigation
AI systems should be tested for discriminatory outcomes

"Good regulation comes from understanding, not fear."

The Path Forward

Australia has an opportunity to get AI regulation right. That means taking the time to understand what we're regulating, consulting with practitioners and researchers, and focusing on outcomes rather than technologies.

Get it right, and we can have both innovation and protection. Get it wrong, and we'll have neither.