This bill mandates that operators of artificial intelligence (AI) companions must inform users that they are not interacting with a human at the start of any interaction and repeat this notification at least every three hours during ongoing interactions. The notification can be delivered either verbally or in writing. The bill defines an AI companion as a system utilizing generative artificial intelligence to create a simulated human-like relationship with users, which includes retaining information from past interactions and engaging in personal dialogues.

Operators who fail to comply with these notification requirements will face a civil penalty of $15,000 for each violation, enforceable through the Penalty Enforcement Law of 1999. The bill aims to ensure transparency in AI interactions, particularly as these technologies increasingly simulate human relationships.