Senate Bill No. 668 introduces Chapter 2003 to the Business & Commerce Code, focusing on the disclosure of information related to artificial intelligence (AI). The bill defines "artificial intelligence" as a machine-based system that can make predictions, recommendations, or decisions based on objectives set by an individual, utilizing inputs to perceive or interpret environments. It establishes that the chapter applies to entities using AI to provide services to individuals in Texas, particularly those generating significant revenue, and mandates that these entities disclose specific information about the AI models they use, including their names, functions, and any third-party inputs that influenced the models.

Additionally, the bill prohibits discrimination or retaliation against individuals who report suspected violations of the chapter and requires cooperation with the attorney general for compliance checks. Violations of this chapter are classified as deceptive trade practices, allowing for enforcement actions by the attorney general, who may also report findings to various government officials. The provisions of this act will take effect on September 1, 2025.

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