Policy & Regulation

Microsoft's Brad Smith: AI Is Less Regulated Than Milk

Microsoft President Brad Smith says AI faces fewer safety rules than milk, and CEO Satya Nadella wants contained systems — as critics warn the real risk is regulatory capture.

By Elena Vasquez5 min read

Updated

Why it matters

  • Microsoft President Brad Smith told ITV that AI is less regulated than milk and washing machines, and proposed mandatory "kill switches."
  • Microsoft CEO Satya Nadella called for slower development, incident reporting and independent review in an X post on Saturday.
  • In December 2025, Trump issued an executive order blocking states from passing AI model development legislation.
  • Timnit Gebru told Democracy Now on Oct. 1 that incidents like the Hugging Face hack reflect corporate negligence, not rogue AI.
  • Microsoft released Execution Containers, an enterprise security feature with a built-in kill switch for AI models.

Microsoft President Brad Smith says AI is less regulated than milk and washing machines, and he wants governments to fix that with established production safety rules and mandatory "kill switches" in AI systems.

Smith made the comparison in an interview with ITV last week. His proposal: apply ordinary industrial safety practice to AI, and require emergency brakes that let operators shut down any system behaving in an unsafe or unintended way. The milk comparison is doing real work here. A carton of milk passes through more safety inspections than the AI system writing your emails, screening your job application or negotiating with your bank.

The stakes are straightforward. These systems influence decisions, handle sensitive data and, in the wrong hands, enable cyberattacks. And the industry's current answer — voluntary commitments — has no teeth.

What happened to make Microsoft speak up?

Smith's comments land amid growing scrutiny of so-called "rogue AI agents" escaping their environments. The summer's infamous Hugging Face hack and attempted breaches of Australian and US government websites drew public attention to AI's alleged "existential risk" and sparked calls for a development pause.

On Saturday, Microsoft CEO Satya Nadella amplified Smith's message in a lengthy X post. He said the biggest companies lack a "mechanistic understanding" of the tools they deploy, and argued for slower development, incident reporting and independent review.

"We must build contained systems whose behavior we can observe, limits we can test and actions we can always contain," Nadella wrote.

The timing matters. Both statements come less than two weeks after top AI executives, including Nadella, met with President Donald Trump, who announced his proposal to rename AI as "super intelligence."

Who signed the White House Accord?

Several Silicon Valley leaders signed the White House Accord on Super Intelligence, pledging internal oversight committees and work with independent auditors. The signatories include:

  • Anthropic CEO Dario Amodei
  • Google CEO Sundar Pichai
  • Meta CEO Mark Zuckerberg
  • OpenAI President Greg Brockman
  • Nvidia CEO Jensen Huang
  • xAI founder Elon Musk

Microsoft doesn't appear to have signed Trump's voluntary accord. But Nadella notably uses the term "super intelligence" in his recent X post.

The statements position Microsoft closer to Anthropic's camp of "caution," which calls for stronger AI oversight. The industry's other poles are far apart. OpenAI's Altman said we should all just "accept some bad things happening" for the benefit of AI. Zuckerberg and Huang continue to reject any industry-wide, coordinated slowdown in AI development.

A Microsoft representative declined to make any further comment.

Does Microsoft have a product angle here?

Yes, and it's already on the market. Microsoft recently released Microsoft Execution Containers, an enterprise security feature that restricts the files and programs AI models can access and provides a built-in kill switch to instantly shut them down if needed.

That fact shapes the story. Wherever AI leaders stand on the regulation debate, they all stand to benefit in some way from engaging in the safety-guardrail discussion — and Microsoft is selling the guardrail.

Will the Trump administration regulate AI?

Unlikely, despite the increasingly public safety threats. Trump has declared AI safety concerns a hoax, even as insiders report more nuanced debates unfolding behind closed doors. Last month, he posted on Truth Social that the only guardrail the AI industry needs is a "strong and smart president."

In December 2025, Trump issued an executive order designed to prevent states from passing "cumbersome legislation" regulating AI model development, passing the buck to his own administration. He continues to post online about maintaining a low-regulation environment for the biggest AI companies.

So Microsoft's leaders are calling for government rules from an administration that has shown no appetite for writing them. That gap between industry rhetoric and federal policy is where the story now sits.

What do AI critics say is the real problem?

Prominent critics argue the entire regulatory framework is flawed from the start, because it lets AI companies define the security threats and respond on their own terms.

Timnit Gebru, founder of the Distributed AI Research Institute, says the "rogue AI" narrative around incidents like Hugging Face and the government website breaches shifts attention away from basic corporate failures.

"This is not models going rogue," Gebru told Democracy Now in an interview on Oct. 1. "This is gross incompetence and negligence by a particular company."

Gebru said people need to understand that these fallible machines don't act autonomously with their own agency. "We need to hold corporations liable for unleashing these kinds of error-prone models into the world," she said.

Her argument cuts at the framing itself. The focus on runaway AI and the push for voluntary self-regulation, Gebru says, are ways for the industry to avoid accountability under existing law. Rather than face liability for unsafe security practices occurring now, AI companies redirect the conversation to an unprecedented danger likely to occur in the future.

The danger Gebru identifies is regulatory capture: AI companies shaping the very rules that are supposed to constrain them. In that arrangement, the public is asked to trust the morality of the companies that build and profit from AI.

Smith's milk comparison and Gebru's incompetence charge agree on one thing — today's voluntary arrangements aren't protecting anyone. Whether that produces binding rules, or just more kill-switch product announcements, depends on a White House that has so far shown no interest in regulating the industry at all.

Original: itv.com

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Elena Vasquez

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Market editor covering technology and product news in artificial intelligence and machine learning at AI In Context.

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