As billion-dollar companies eye North Dakota for data centres, state leaders are prioritising the regulation and advancement of artificial intelligence, balancing industry growth with community concerns.
In North Dakota, discussions are intensifying among state leaders regarding the regulation and advancement of artificial intelligence (AI) applications, especially in light of the burgeoning interest from billion-dollar companies seeking to establish data centres within the state. The legislative framework is still under development, but there is a consensus on creating parameters for the household use of AI whilst accommodating the needs of the industry.
Republican Representative Josh Christy from Fargo is actively drafting a series of bills aimed at fostering AI development while criminalising its misuse. Drawing on his background as a software developer, Christy stated, “AI is not something that’s going to go away. How do we best make it a viable industry for the state, make it beneficial for the residents and an income-producing opportunity for the state, but also put some guardrails in place so that we’re making sure that things don’t go too far?” He anticipates that the upcoming legislation will include measures against malicious AI usage, as well as guidelines for the construction of data centres and research initiatives.
One notable feature of the proposed legislation addresses the issue of deepfakes—AI-generated content that can be used deceptively. Christy’s bill would make it illegal to produce non-consensual deepfake media, mandating that individuals involved have a “reasonable” expectation of privacy. Additionally, the creation and possession of AI-generated child pornography would be explicitly classified as a crime, reinforcing the existing legal framework against online exploitation.
Regulatory considerations are not limited to content creation. The North Dakota Secretary of State’s office is reported to be crafting a bill that would establish regulations for AI used in election campaigns. Currently, the state Attorney General’s office lacks the ability to prosecute deepfake-related cases, which the new legislation aims to address with penalties for violations reaching up to $10,000.
The operation of AI technologies hinges on the infrastructure provided by data centres—facilities that contain robust computing systems designed to store and process enormous amounts of digital information. North Dakota’s conducive environment for data centre development, characterised by its cold climate, access to fibre optic networks, and abundant natural resources, has prompted the state to incentivise such facilities. Notably, the demand for energy from AI-powered data centres is substantial, requiring a power output exceeding that available from existing facilities, such as six Coal Creek Power Stations.
Recognising this energy requirement, Christy’s proposed legislation includes partnerships between the oil and gas sector and data centres, aiming to utilise flared gas as an energy source for the infrastructure. This initiative underscores a dual approach of fostering industry growth while addressing environmental considerations.
Discussions on the local governance of data centres highlight the balance between economic opportunity and community impact. Local leaders, including Mayor Don Flaherty of Ellendale—where Applied Digital is establishing a 100-megawatt data centre—express optimism about the potential benefits for local economies. Flaherty articulated, “This is an opportunity for our community to secure its future well into the next century,” despite residents expressing concerns regarding the transformation of farmland into industrial sites.
Conversely, some projects have encountered significant resistance. For instance, Atlas Power’s cryptocurrency mining data centre in Williston faced backlash from both locals and utility companies due to increased power rates and noise complaints, leading to a lawsuit from affected residents.
The dialogue among North Dakota leaders indicates a keen awareness of the implications of AI and data centre operations. The coming months will witness the introduction of Christy’s legislative package, and input from the public will be an essential component as residents are encouraged to share their perspectives with lawmakers on the evolving landscape of AI in North Dakota.
Source: Noah Wire Services
- https://www.ndit.nd.gov/artificial-intelligence-guidelines – This link supports the discussion on North Dakota’s guidelines for the use of artificial intelligence, including best practices, risk management, and legal considerations.
- https://ndlegis.gov/assembly/68-2023/committees/interim/information-technology-committee – This link provides information on the duties and studies of the Information Technology Committee in North Dakota, including their role in reviewing AI projects and policies.
- https://ndlegis.gov/biography/josh-christy – This link corroborates the background and legislative activities of Republican Representative Josh Christy, who is involved in drafting AI-related bills.
- https://www.salesforce.com/blog/generative-ai-regulations/?bc=OTH – This link provides context on AI regulations in various U.S. states, which is relevant to the broader discussion on AI regulation and legislation in North Dakota.
- https://www.ndit.nd.gov/artificial-intelligence-guidelines – This link details the state’s approach to AI, including guidelines for data centres and research initiatives, aligning with Christy’s legislative goals.
- https://ndlegis.gov/assembly/68-2023/committees/interim/information-technology-committee – This link supports the regulatory considerations and the role of state agencies in addressing AI-related issues, including election campaigns and deepfakes.
- https://www.salesforce.com/blog/generative-ai-regulations/?bc=OTH – This link discusses state-level regulations on deepfakes and AI-generated content, which is relevant to Christy’s proposed legislation on non-consensual deepfake media.
- https://www.ndit.nd.gov/artificial-intelligence-guidelines – This link highlights the importance of data centres and the infrastructure needed for AI technologies, aligning with the discussion on data centre development in North Dakota.
- https://ndlegis.gov/assembly/68-2023/committees/interim/information-technology-committee – This link addresses the energy requirements and environmental considerations associated with data centre operations, which are part of the proposed legislative initiatives.
- https://www.salesforce.com/blog/generative-ai-regulations/?bc=OTH – This link provides examples of other states’ approaches to AI regulation, which can inform North Dakota’s legislative efforts and public dialogue on AI governance.
- https://ndlegis.gov/biography/josh-christy – This link supports the involvement of local leaders and the community’s perspectives on AI and data centre operations, as mentioned in the context of Representative Christy’s efforts.
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