Corporate governance, in the context of the frontier AI industry, refers to the principles and procedures put in place by and within a company to supervise and control the development and use of frontier AI models built by the company.
We focus here on a company self governance.
Frontier AI systems are currently developed by a few companies. However, with the rise of more AI companies or potential nationalisations, there might be shifts. Establishing effective organisational structures and processes requires time and experimentation, making it imperative to begin early, such as perfecting risk management frameworks. Today's actions by companies could soon set the standards, becoming best practices or even legislation.
Proactive self-regulation by frontier AII labs plays a pivotal role in shaping the broader regulatory landscape. Drawing from historical precedents 1, industries have frequently influenced formal governmental regulations through their own voluntary commitments and self-imposed standards. By crafting and adhering to stringent internal policies, frontier AI labs also offer a blueprint for potential legislation.
1 For example, in the automobile industry, before many government regulations were in place, auto manufacturers began voluntarily introducing safety features, like seat belts and airbags, and conducting crash tests, which later became standardised by governments worldwide.
