Pennsylvania Governor Josh Shapiro signed the Artificial Intelligence Deceptive Advertising Act into law on Thursday. It requires an ad to carry a disclosure if it was “significantly modified or generated by artificial intelligence” and uses synthetic content in a way that creates a false consumer perception about a product or service.
The rule covers ads in different formats: still images, video, audio and text. A disclosure must appear in the same format as the ad itself. The law applies regardless of where the ad was made, so an advertisement created outside Pennsylvania could still need a label if it is covered by the law. The Verge notes that this could mean labels appear in commercials shown in other states when those ads are also expected to air in Pennsylvania.
The law leaves key terms open
The requirement hinges on terms whose boundaries are not clear from the law’s wording. “Significantly modified” could be interpreted in different ways, and The Verge says it is unclear what counts as content that creates a “false consumer perception.” The Verge does not identify who will make those calls or describe how disputes would be handled.
There are also exceptions for parody, satire, commentary and criticism, as well as material that is “evidently fictional.” What makes something evidently fictional is also unclear. Together, these qualifications leave uncertainty about which AI-assisted ads will need a disclosure; the law does not appear to require a label on every ad that uses AI.
What is known about the rollout?
The Verge describes Pennsylvania as one of the first states to require disclosures on AI content. State Senator Nick Pisciottano introduced the bill, but his office did not immediately respond to The Verge’s request for comment. The Verge gives no effective date, enforcement details or penalties, so it does not establish when advertisers must begin adding labels or what happens if they do not.
For businesses that advertise in Pennsylvania, the law creates a disclosure requirement for ads that meet its criteria, including ads produced elsewhere. But the unclear definitions and exceptions mean the precise range of affected campaigns remains uncertain. The available account also does not explain whether regulators will issue guidance clarifying those terms.
Why it matters
Advertisers whose campaigns reach Pennsylvania may need to label qualifying AI-generated or significantly altered ads, even when they were made elsewhere. But The Verge leaves unclear which edits count as significant and when the requirement takes effect, so businesses and audiences cannot yet tell exactly which ads will carry labels.