alt Hacker NewsYou're missing the point, what will happen is this:
1) in things like tax law, registering with city hall, dealings with the DMV, your phone subscription, insurance contract, ... you will find that one of the new fine prints in the contract will be that you're not allowed to use AI to communicate with them.
2) because of how SynthID works (you need the SynthID keys to verify, which are secret. So the only way to find if text is ChatGPT/Google/Anthropic watermarked is to ask ChatGPT/Google/Anthropic), government and large companies can enforce this against you. That is what the watermark is for. To end any insurance claim written by AI with "you're not allowed to submit AI written insurance claims" and refuse it outright there and then.
"Sorry your request was AI watermarked and pursuant to law 234 of 2025/03/11 chapter 3258 paragraph 33 decile 1299 we hereby close it without response"
3) when they reply, however, they use a custom model that also has custom SynthID keys. You will not even be able to tell their responses are AI written, or at least, you won't be able to prove it. You won't be able to enforce any AI-related rights (ie. the right to talk to a human) you have under the law against large companies.
In other words: this is to make sure that all the advantages AI provides are available to deny your unemployment claim, and to Verizon to charge you more, but completely inaccessible TO YOU when you want to change to a cheaper subscription. They can inundate YOU with AI-written requests BUT YOU CAN'T.
Self-hosting helps because it prevents them from verifying if your responses are AI written, because you can generate non-watermarked AI text and so there is a level playing field.
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this seems exactly the usual anti-consumer bullshit that is regulated state-by-state (or sometimes by (lack of) FCC/FTC effort, or by the CFPB that is now a zombie)
however, AI doesn't really influence this. already there's a lot of problem with things like Ticketmaster, Apple's walled garden, abuses of IP law (patent trolls, DMCA trolls), etc.
the insurance industry is a prime example of this. the suffering caused by power imbalance is incomprehensible, and yet there's not enough political will to address this.
sure, it's easily possible that some important aspects of our everyday lives will be worsened by bad AI regulation. but IMHO this is wholly an upstream problem, it's a symptom of bad politics. (a byproduct of the Zip2 to Tesla to "democracy with roman salute characteristics" pipeline.)
that said, obviously the foundation to have any chance of a nonpatological market to exist is that self-hosting has to be legal.
1) Would that fine print be binding?
2) What actual law/regulation would that currently be that would be used for such an outright refusal?
3) Would that comply with current regulation?