Winston’s AI Monthly Recap - October 2025

Winston’s AI Top 10 summarizes the latest AI developments in the legal industry. 

Top 10 - October 30

Download the full recap. 

1. SENATE BILL 53, THE LANDMARK AI TRANSPARENCY BILL, IS NOW LAW IN CALIFORNIA

Late last month, on September 29, Governor Gavin Newsom officially signed the Transparency in Frontier Artificial Intelligence Act, also known as Senate Bill 53. The law requires that developers of large “frontier” AI systems must publicly publish how they incorporate national, international, and industry best practices into their safety and security frameworks, must report critical safety and security issues every three (3) months to the state Office of Emergency Services, and protect whistleblowers who disclose safety risks or violations of Senate Bill 53. | Read More

2. CALIFORNIA BECOMES THE FIRST STATE TO REGULATE AI COMPANION CHATBOTS

Shortly after signing Senate Bill 53, California Governor Gavin Newsom signed Senate Bill 243, which focuses on protecting children who use AI chatbots. This bill requires AI companies that provide “companion chatbots” to implement specific safeguards for user interactions, particularly for minors. These safeguards include disclosing information and providing notice to users, as well as fulfilling regulatory reporting requirements. A “companion chatbot” is defined as an AI system “with a natural language interface that provides adaptive, human-like responses to user inputs and is capable of meeting a user’s social needs.” The bill is set to take effect on January 1, 2026. However, the regulatory reporting requirements—which mandate that operators report data on instances of self-harm or suicidal ideation to the Office of Suicide Prevention—will begin on July 1, 2027. | Read More

3. UK UNVEILS AI REGULATION FRAMEWORK TO DRIVE INNOVATION AND GROWTH

The UK government has launched a new AI regulation blueprint centered on “sandboxes”—controlled environments where companies can test AI technologies under relaxed rules to accelerate innovation in sectors like healthcare, housing, and manufacturing. These AI Growth Labs aim to fast-track responsible development while maintaining strict oversight, with time-limited licenses and safeguards to prevent risks. The initiative is part of a broader deregulatory push to modernize public services and boost economic growth, potentially saving UK businesses £6 billion annually by 2029. | Read More

4. ACTIVIST ROBBY STARBUCK SUES GOOGLE OVER CLAIMS OF FALSE AI INFO

Conservative activist Robby Starbuck has filed a $15 million defamation lawsuit against Google, alleging its AI platforms—Bard, Gemini, and Gemma—generated and spread false claims portraying him as a criminal, sexual abuser, and extremist. The suit claims Google ignored repeated cease-and-desist requests and that its AI fabricated sources to support defamatory statements, which were shown to millions of users and caused reputational and personal harm. Google responded that the claims stem from known AI "hallucinations" and emphasized its ongoing efforts to minimize such issues, while Starbuck argues the case could set a precedent for AI accountability. | Read More

5. UNIONS CHALLENGE FEDS’ AI SURVEILLANCE OF NONCITIZENS’ VIEWS

Three major labor unions have sued the federal government in New York, alleging that an AI-powered surveillance program unlawfully monitors noncitizens’ online speech and chills dissent through threats of immigration enforcement. The unions claim the program violates First Amendment rights and relies on automated tools to analyze social media activity, raising significant constitutional and privacy concerns. | Read More

6. CHINA MOVES TO STRENGTHEN REGULATION OF AI SAFETY AND ETHICS

China is amending its Cybersecurity Law to establish a unified legal framework for AI governance, addressing safety, ethics, and personal data protection amid rapid technological advances. The draft includes provisions to support foundational AI research, regulate key technologies, and enforce ethical standards, while aligning with existing laws like the Civil Code and Personal Information Protection Law. These changes aim to close regulatory gaps, clarify responsibilities in areas like autonomous driving, and enhance oversight of AI-generated content to combat misinformation and fraud. | Read More

7. ARTISTS ASK TO CERTIFY CLASSES IN GOOGLE AI COPYRIGHT SUIT

Artists and writers have requested class certification in a California federal lawsuit, alleging Google infringed their copyrights by using their works to train its AI models. The plaintiffs argue that common evidence will prove Google’s unauthorized use, and they seek to exclude works covered by licensing agreements, with the case poised to address whether Google’s actions qualify as fair use under copyright law. | Read More

8. META IN $27 BILLION FINANCING DEAL WITH BLUE OWL CAPITAL FOR LOUISIANA DATA CENTER

Meta has entered a $27 billion joint venture with Blue Owl Capital to fund its largest global data center project—“Hyperion” in Louisiana—which will deliver over 2 gigawatts of compute capacity for AI model training. Meta retains a 20% equity stake while receiving a $3 billion upfront payment; Blue Owl contributed $7 billion in cash, with the remainder financed through its managed funds. | Read More

9. ORACLE TO OFFER CLOUD SERVICES USING AMD'S UPCOMING AI CHIPS

Oracle will deploy 50,000 of AMD’s forthcoming MI450 AI chips starting in Q3 2026 as part of a broader collaboration to scale cloud infrastructure for advanced AI workloads. The deal positions AMD to compete more directly with its competitors by pairing its chips with the “Helios” rack design, and gives Oracle a strategic edge in securing compute resources amid soaring enterprise AI demand. This partnership reflects intensifying vertical integration across the AI supply chain, with implications for IP licensing, long-term cloud service contracts, and antitrust scrutiny as hyperscalers and chipmakers deepen exclusivity-driven alliances. | Read More

10. U.S. FEDERAL AI REGULATION IS ON THE WAY, SEN. MARSHA BLACKBURN SAYS, REGARDLESS OF BIG TECH OPPOSITION

Senator Marsha Blackburn emphasized the urgent need for federal AI regulation at the CNBC AI Summit, citing growing constituent concerns and the patchwork of state laws emerging in places like California, Texas, and Utah. She advocates for a federal preemption standard to protect consumers and children, especially as AI technologies increasingly intersect with social media and data privacy, and has pushed bipartisan legislation like the Kids Online Safety Act to address these issues. Blackburn also warned that without federal action, states will continue to fill the regulatory void, and stressed the importance of safeguarding personal data and digital identities from misuse by AI systems. | Read More