By Anna Tong

SAN FRANCISCO (Reuters) - ChatGPT developer OpenAI is supporting a California bill that would require tech companies to label AI-generated content, which can range from harmless memes to deepfakes aimed at spreading misinformation about political candidates.

The bill, called AB 3211, has so far been overshadowed by attention on another California state artificial intelligence (AI) bill, SB 1047, which mandates that AI developers conduct safety testing on some of their own models.

That bill has faced a backlash from the tech industry, including OpenAI, which has Microsoft as a backer.

California state lawmakers attempted to introduce 65 bills touching on AI this legislative season, according to the state’s legislative database, including measures to ensure all algorithmic decisions are proven unbiased and protect the intellectual property of deceased individuals from exploitation by AI companies. Many of the bills are already dead.

San Francisco-based OpenAI believes that for AI-generated content, transparency and requirements around provenance such as watermarking are important, especially in an election year, according to a letter sent to California State Assembly member Buffy Wicks, who authored the bill.

With countries representing a third of the world's population having polls this year, experts are concerned about the role AI-generated content will play, and it has already been prominent in some elections, such as in Indonesia.

"New technology and standards can help people understand the origin of content they find online, and avoid confusion between human-generated and photorealistic AI-generated content," OpenAI Chief Strategy Officer Jason Kwon wrote in the letter, which was reviewed by Reuters.

AB 3211 has already passed the state Assembly by a 62-0 vote. Earlier this month it passed the senate appropriations committee, setting it up for a vote by the full state Senate. If it passes by the end of the legislative session on Aug. 31, it would advance to Governor Gavin Newsom to sign or veto by Sept. 30.

(Reporting by Anna Tong in San Francisco; Editing by Muralikumar Anantharaman)