Generative artificial intelligence (GenAI) is being developed to enhance the well-being of humanity.

The potential of GenAI is profound. Goldman Sachs says that GenAI could be as positive for American productivity as the internet or other similar leaps in dynamic technology. Goldman posits that GenAI could double the growth rate of long-term productivity. GenAI could revolutionize drug development and medical treatment, and also could drive annual healthcare savings of up to $500 billion . GenAI could deliver necessary low-skill goods and services by machine and not by numbingly repetitive human labor. U.S. policy should be to promote the most rapid development of GenAI. To slow GenAI would cause a national security emergency, as China is coming .

It is thus also extremely important that the U.S. push back hard on European Union efforts to restrict the development of GenAI.

Technomancers.ai observes that newly proposed EU regulations regarding application programming interface access to GenAI models would stop dead American-based open-source developers and software distributors such as GitHub. GitHub uses cloud computing to facilitate advanced coding. Under the proposed EU regulations, GitHub and all emerging U.S. GenAI companies would be subject to draconian financial penalties if inadvertently unlicensed GenAI models became available in the EU. The proposed regulations would dramatically slow the development of GenAI in both the U.S. and Europe. China and Russia would ignore the EU. Equally ominous, the proposed regulations extend the legal reach of the bureaucracy of the EU into the U.S.

Such an extension cannot be tolerated.

The U.S. must unequivocally reject this attempt by the EU to restrain the rapid advance of GenAI by U.S. companies. It must also repudiate the assertion by the EU of extraterritorial legal authority over U.S. companies. The EU cannot attempt to reduce the sovereignty of the U.S.

James Rogan is a former U.S. foreign service officer who later worked in finance and law for 30 years. He writes   a daily note   on finance and the economy, politics, sociology, and criminal justice.