Amazon Requires AI-Generated People Labels After New York Law

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Key Takeaways
  • Amazon requires third-party sellers to label product images and videos containing AI-generated people following New York law.
  • Third-party vendors account for more than sixty percent of goods sold on Amazon's marketplace affected by policy.
  • Amazon will add indicators to listings informing consumers when content features AI-generated people where applicable.

Amazon informed third-party sellers Wednesday that they must label product images or videos containing AI-generated people, following a New York law that took effect last month. The legislation, described by Governor Kathy Hochul as 'first-in-the-nation,' requires companies to disclose when 'synthetic performers' replace human actors in advertising. The policy change affects sellers on Amazon's marketplace, where third-party vendors account for more than 60% of goods sold.

Amazon Directs Sellers to Tag AI Content with Metadata Keywords

The company's announcement, viewed by CNBC, directs sellers to tag images and 'A+ content'—which refers to videos or other graphics on listing pages—with specific metadata keywords before uploading. 'Recent legislation requires disclosure when images or videos in advertisements contain photorealistic AI-generated people,' Amazon wrote in the announcement. The company stated it will 'add an indicator' to listings on its website informing consumers that images or other content feature AI-generated people, 'where applicable.'

Policy Exempts TV Characters and AI-Altered Real People

Amazon clarified that the requirement doesn't apply to content featuring TV, video game and movie characters, or content that includes real people, even if they've been altered using AI. The New York law applies to 'digitally-created media that appear as a real person.' Hochul's office stated in a release that 'without notice that the content the public is viewing is not real, AI-generated synthetic performers and manipulated media can undermine one's ability to accurately distill fact from fiction.'

Amazon Expands AI Integration Across Shopping Platform

Amazon has optimized listing titles and details so they're more likely to be spotted by AI systems, invested in a recently rebranded assistant called Alexa for Shopping, and launched a feature that injects AI-generated products into its search bar in real time based on user queries. More Amazon third-party sellers are using AI to generate text, images and other content for their listings, partly by using the company's tools.

States Implement AI Transparency Requirements Without Federal Law

No federal law requires companies to disclose when advertising content has been created using AI. Earlier this year, California began requiring large AI providers to embed watermarks in AI-generated images, video or other content. Meta, TikTok, Pinterest and Google's YouTube have added AI-generated content labels to videos and images uploaded to their platforms. TikTok and Meta have recently been criticized for not adequately labeling ads that feature AI-generated influencers hawking dubious products. TikTok has said it's taken steps to ban accounts that make misleading health claims, and Meta said it labels AI videos.

FAQ

What did Amazon announce to third-party sellers on Wednesday?

Amazon announced that sellers must label product images or videos containing AI-generated people with specific metadata keywords before uploading them to the platform.

Why did Amazon implement this new labeling policy?

The policy follows a New York law that took effect last month requiring companies to disclose when 'synthetic performers' are used in place of human actors in advertising.

Does the policy apply to all AI-altered content on Amazon?

No. Amazon clarified that the requirement doesn't apply to content featuring TV, video game and movie characters, or content that includes real people, even if they've been altered using AI.

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