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The Securities and Exchange Commission has ruled that Apple and Disney cannot prevent their shareholders from voting on their use of AI.

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The decision follows requests from the two companies not to require reports on their use of AI at their upcoming annual shareholder meetings, arguing that it is "ordinary business operations," just like choosing a particular piece of software. This claim stands in stark contrast to the AI investments both companies have made lately.

The disclosure request was filed by a pension fund of the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO), the largest U.S. labor federation. It requested a report on the use of AI in the companies' operations and any ethical policies the companies have adopted regarding the use of AI technology.

It demands that "AI systems should not be trained on copyrighted works, or the voices, likenesses and performances of professional performers, without transparency, consent and compensation to creators and rights holders."

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The SEC's decision could pave the way for agreements with Apple and Disney on AI disclosure.

Microsoft leads the conversation on AI in the workforce

Microsoft recently partnered with the AFL-CIO to engage in an open dialogue about the impact of AI on workers and to incorporate worker perspectives into the development of AI.

Microsoft also reached an agreement with the Communications Workers of America (CWA) to address the impact of AI on the workplace. The agreement requires Microsoft to inform the union of any AI implementation that could affect the jobs of union members.

Apple has reportedly at least begun negotiations with publishers to legally use their works for AI training and not fall into the same trap as OpenAI and likely Google and Meta.

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Summary
  • The Securities and Exchange Commission (SEC) has ruled that Apple and Disney must allow their shareholders to vote on the use of artificial intelligence. Both companies had asked the SEC for an exemption.
  • The request for disclosure came from a pension fund of the AFL-CIO, the largest U.S. labor union, and called for a report on the use of AI as well as ethical guidelines for AI technology.
  • Microsoft is ahead of the curve, working with the AFL-CIO and the Communications Workers of America (CWA) to have an open dialogue about the impact of AI on workers and the workplace.
Sources
Online journalist Matthias is the co-founder and publisher of THE DECODER. He believes that artificial intelligence will fundamentally change the relationship between humans and computers.
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