Invisible Code Changes the Law
In August 2025, California approved the AI Transparency Act (SB-942), which requires AI system providers to disclose whether content was generated by an algorithm. For companies working with AI – which in 2025 is almost everyone – this changes everything.
The document must include:
- the AI provider’s name,
- system version,
- creation time,
- unique identifier.
The deadline to comply is August 2026.
But California is just the beginning. More than 550 AI-related bills have emerged in over 45 US states between 2024 and 2025. Internationally, the SEC is updating AI reporting requirements in financial filings. Increasingly, public companies must disclose their use of AI in annual reports.
For PR teams, this means a new category of communication: not “what we say about our products,” but “which words in our communication were written by AI.”
Global Harmonization: How Many Regulations Are Too Many?
The NTIA (National Telecommunications and Information Administration) is working to coordinate between states and federal authorities to avoid a patchwork of regulations.
The problem is that each country takes a different approach:
- USA – focus on disclosure and transparency,
- EU – a more regulatory approach, banning risky AI applications,
- China – monitoring for social control,
- New Zealand – focus on bias and discrimination.
For global companies operating in dozens of countries, this creates chaos. Different communications need to be prepared for the US, EU, and Asia.
South Korea’s AI Basic Act: A Tough Implementation Test
In a notable example of global harmonization, South Korea approved the AI Basic Act in January 2025, which requires disclosure of “high-impact” AI in areas such as:
- healthcare,
- transportation,
- financial services.
South Korea went further than the US – not only requiring transparency but also environmental impact assessments for energy-intensive AI models.
For companies operating in Korea, this means if you use AI to make medical, transportation, or financial decisions, you must publicly disclose it and demonstrate that the system was developed responsibly.
A Challenge for Communication Agencies
Hinshaw Law’s AI Regulatory Roadmap for 2025 points out that PR agencies must now work closely with legal, compliance, and product teams to:
- Map all AI users – where is AI used within the organization?
- Identify high-risk cases – does a given AI system affect safety, privacy, or discrimination risk?
- Prepare proactive communication – speak out proactively before regulations demand it.
Companies that wait for regulatory obligations to be transparent will face problems. Media and activists are already seeking out companies using AI without disclosure.
Case Study: When Disclosure Becomes a Strategy
Several companies have moved from defense to offense – communicating their use of AI as a trust-building element.
One global tech corporation published an AI transparency report, showing where they use AI, how they test systems, and what safeguards they apply. The result? Increased customer trust because the company openly informs about its practices.
Another example: a company that disclosed its chatbot is powered by AI, rather than hiding it, improved customer satisfaction because users had realistic expectations.
Guidelines for 2025–2026
For PR agencies and advisors, the strategy should look like this:
Pre-regulation implementation phase:
- audit all AI applications,
- prepare clear communications,
- build relationships with regulatory bodies.
Regulatory compliance phase:
- publish disclosures on official platforms,
- proactive media communication,
- include the topic in sustainability reports (if published).
Post-implementation phase:
- monitor media opinion on AI use,
- gather customer feedback,
- continuously adapt communication.
The best PR agencies will be those that understand AI not as a technical problem but as a communication breakthrough – an opportunity to build trust through transparency.