OpenAI Backs, Anthropic Opposes Illinois Bill Shielding AI Labs from Catastrophic Liability
Summary
- • Illinois SB 3444 would exempt frontier AI labs from liability for mass-casualty or billion-dollar AI harms if they published safety reports and did not act recklessly
- • OpenAI supports the bill; Anthropic has come out against it and is lobbying lawmakers to kill or overhaul it — a rare public split between the two leading US AI labs
- • Illinois Governor JB Pritzker's office also opposes full liability shields, and 90% of Illinois residents surveyed oppose AI liability exemptions
- • Policy experts warn the bill would nearly eliminate legal incentive for AI companies to prevent foreseeable catastrophic risks
Details
SB 3444 exempts frontier AI labs from liability for mass casualties or $1B+ property damage under specific conditions
Protection applies only if the developer did not act intentionally or recklessly and has published safety and transparency reports. Original reporting identified the threshold as 100 or more deaths or serious injuries. Frontier models are defined as trained with $100M or more in compute — covering OpenAI, Google, xAI, Anthropic, and Meta.
OpenAI actively supports SB 3444, shifting from defensive to offensive legislative posture on liability
OpenAI spokesperson Jamie Radice and policy staffer Caitlin Niedermeyer testified in support before Illinois lawmakers. OpenAI frames the bill as a 'harmonized' approach that reduces risk of serious harm while allowing AI to reach Illinois residents and businesses, and says it hopes state laws will inform a national framework.
Anthropic publicly opposes SB 3444 and is lobbying Illinois lawmakers to kill or substantially amend it
Anthropic confirmed its opposition through Cesar Fernandez: 'We are opposed to this bill. Good transparency legislation needs to ensure public safety and accountability for the companies developing this powerful technology, not provide a get-out-of-jail-free card against all liability.' Anthropic says it has had 'promising conversations' with bill sponsor Senator Bill Cunningham about different legislation.
The OpenAI–Anthropic split is a rare direct public disagreement between the two leading US AI safety labs on a core policy question
Both companies have historically presented themselves as safety-focused and often aligned on regulatory principles. Their open divergence on SB 3444 signals that the frontier AI industry has no unified position on liability, complicating the legislative picture for states and federal policymakers.
Illinois Governor JB Pritzker's office opposes the bill, saying big tech should not receive a full liability shield
The Governor's spokesperson stated: 'governor Pritzker does not believe big tech companies should ever be given a full shield that evades responsibilities they should have to protect the public interest.' This adds significant political weight against passage alongside the 90% public opposition.
Legal experts warn SB 3444 would nearly eliminate existing common-law liability incentives for AI companies
Thomas Woodside, cofounder and senior policy adviser at the Secure AI Project, stated: 'Liability already exists under common law and provides a powerful incentive for AI companies to take reasonable steps to prevent foreseeable risks. SB 3444 would take the extreme step of nearly eliminating liability for severe harms.'
The $100M compute threshold concentrates the liability shield among the largest AI incumbents
The frontier model definition covers OpenAI, Google, xAI, Anthropic, and Meta — but excludes smaller AI developers. This raises questions about competitive fairness and whether the threshold was effectively designed to benefit the largest incumbents.
Bill passage considered unlikely given Illinois's regulatory track record and the political opposition now aligned against it
Illinois has historically taken an aggressive stance on tech regulation. With the Governor's office opposed, 90% public opposition, and Anthropic actively lobbying against it, SB 3444 faces a steep path — though Anthropic's 'promising conversations' with the bill's sponsor suggest it could be retooled into different legislation.
Policy = legislative/regulatory developments; Industry Update = company actions or positions; Insight = expert analysis or significance; Context = background and structural factors
What This Means
The open split between OpenAI and Anthropic on SB 3444 reveals that the frontier AI industry has no unified position on one of the most consequential questions in AI governance: who is legally responsible when AI causes catastrophic harm. With the Illinois Governor opposed, public sentiment heavily against liability shields, and one of the two most prominent AI labs actively lobbying to kill the bill, SB 3444 is unlikely to pass in its current form. If liability shield legislation does gain traction elsewhere, Anthropic's public opposition gives legislators and regulators a credible industry voice arguing against it, making blanket exemptions harder to justify as industry consensus.
Sentiment
Mostly critical from AI policy and legal experts, alarmed at liability shields for catastrophic harms
“This bill that OpenAI is backing in Illinois would give AI companies near total legal immunity for "critical harms" (more than 100 deaths or injuries, or more than $1 billion in damages) their products cause as long as they have a safety plan, no matter how bad the plan is.”
“According to @SenCunningham SB 3444 is actually "an initiative of OpenAI," not merely something the company supports. Seems surprising? And he described it as modeled on the CA and NY legislation, which doesn't seem precise.”
“That’s not quite fair, Nathan. It would also give them near total legal immunity from liability if they didn’t have any kind of SSP or model card, but also failed to anticipate that this could lead to people getting hurt.”
Sarcastic reply underscoring the bill's broad immunity
Split
Legal and policy experts critical of weak accountability (~90/10 vs. unvocalized industry support for safe harbors).
