California sets its own AI rules for state contractors, pushing back against federal policy

California Governor Gavin Newsom signed an executive order requiring state contractors to adopt AI safeguards.

State agencies must watermark AI-generated images and videos and contractors must prevent illegal content and civil-rights violations.

California will review federal supply-chain risk designations and could continue working with flagged vendors.

Procurement and technology agencies must produce AI certification recommendations within 120 days.