Artificial Intelligence

Policy Experts Warn Governments Are Falling Behind on AI Regulation

A rare policy consensus emerges as AI’s impact moves beyond innovation into governance and societal risk

Updated

May 5, 2026 5:42 PM

A mechanical hand reaching for the hand of flesh. PHOTO: UNSPLASH

A new survey from Povaddo, a policy research firm, suggests that concern about artificial intelligence is no longer limited to industry or academia. It is now firmly present within the policy community.

The survey draws on responses from 301 public policy professionals across the United States and Europe, including lawmakers, staffers and analysts involved in shaping and evaluating public policy. A majority of respondents—61%—say governments are falling short in addressing the negative impacts of AI.

There is also broad agreement that regulation needs to increase. In the United States, 92% of respondents support stronger AI regulation, compared to 70% in Europe. At a time when consensus is often difficult, the findings point to a shared view across policy circles that current frameworks are not keeping pace with technological development.

Differences emerge when looking at how AI is affecting national contexts. In the U.S., 57% of policy experts believe AI is already harming the labor market. In Europe, 34% say the same. U.S. respondents are also more likely to see AI as a greater threat to jobs than immigration, with 63% holding that view compared to 47% in Europe.

On misinformation, responses are closely aligned. A large majority of policy experts in both regions expect an AI-driven misinformation crisis within the next one to two years—87% in the U.S. and 82% in Europe. Many also believe that AI-generated or AI-amplified misinformation could affect elections and public health information.

Some respondents frame the risks in more fundamental terms. In the United States, 41% of policy experts say AI poses an existential threat to humanity. In Europe, 29% share that view. U.S. respondents are also more likely to believe that advances in AI could harm global security and stability.

The findings come as policymakers begin to respond more actively. In the U.S., Senators Josh Hawley, Richard Blumenthal and Mark Warner have introduced bipartisan legislation focused on AI accountability, including measures aimed at protecting workers and children.

In Europe, the introduction of the EU AI Act marks a more advanced regulatory approach. The framework sets out rules based on levels of risk and is widely seen as the first comprehensive attempt to govern AI at scale.

William Stewart, President and Founder of Povaddo, said: "What makes these findings so significant is who is saying it. These are the practitioners who work inside the policy process every day, spanning every corner of the policy world from defense to healthcare to finance, not activists or everyday citizens. These findings foreshadow real action. The current path of governments accelerating AI deployment while falling short on governance is not sustainable, and the people who know that best are the ones in this survey. You cannot have nine-in-ten policy insiders demanding more regulation and four-in-ten calling AI an existential threat without that eventually moving the needle in Washington and Brussels in terms of legislative or regulatory action".

Taken together, the survey reflects a shift in how AI is being discussed within policymaking circles. Concern is no longer limited to future risks. It is increasingly tied to current gaps in governance and the pace of deployment.

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Ecosystem Spotlights

Meta Backs Space Solar Startup in Deal to Power Future Data Centers

Overview Energy plans to collect sunlight in orbit and send it to Earth, giving Meta early access to a new source of round-the-clock power

Updated

April 29, 2026 3:20 PM

A corona mass ejection erupts from our sun. PHOTO: UNSPLASH

Overview Energy, a startup focused on space-based power systems, has announced a new agreement with Meta to develop a new source of electricity for data centers. The partnership centres on space solar energy, with an orbital demonstration planned for 2028 and commercial power delivery targeted for 2030.

The deal gives Meta early access to as much as 1 gigawatt of future capacity from Overview’s system. That matters because large technology companies are searching for reliable power sources as demand rises from AI computing and data center expansion.

Overview’s idea is straightforward, though the engineering is ambitious. The company plans to place satellites in orbit that collect sunlight continuously in space. That energy would then be sent to existing solar sites on Earth, where it would be converted into electricity.

Unlike ground-based solar farms, which only generate power when the sun is shining locally, a space-based system is designed to extend power generation beyond daylight hours. In theory, this could help solar facilities produce electricity around the clock without using extra land.

"Space solar technology represents a transformative step forward by leveraging existing terrestrial infrastructure to deliver new, uninterrupted energy from orbit. We're excited to partner with Overview Energy to pioneer innovative energy solutions to advance our AI ambitions and infrastructure", said Nat Sahlstrom, VP of Energy and Sustainability, Meta. "This collaboration demonstrates our commitment to innovation – leveraging cutting-edge technology to strengthen America's energy leadership".

For Meta, the agreement is less about a near-term energy fix and more about securing future options. Major data center operators are increasingly competing for electricity as AI systems require more computing power and more cooling capacity. Traditional energy projects can take years to build, making alternative supply models more attractive.

Overview says its system is designed to work with solar projects that already exist. Instead of building entirely new power plants, the company aims to increase output from current sites by adding energy received from orbit.

"Space is becoming part of America's energy infrastructure", said Marc Berte, CEO of Overview Energy. "Our approach to space solar energy enables hyperscalers and technology providers to secure clean power with reliable siting, and speed to power.” "Together with Meta, we're looking beyond traditional constraints on where and when power can be delivered to meet the growing demand for electricity".

The larger significance of the partnership is what it signals about the energy market. As AI infrastructure expands, companies are beginning to look beyond conventional grids, gas plants and land-based renewables. Technologies once considered experimental are now being explored as part of long-term infrastructure planning.

There is still a long road ahead. Space solar power has been discussed for decades, but commercial deployment remains unproven. Launch costs, regulation and system reliability will all matter.

Even so, the Meta-Overview agreement shows how rising demand for constant power is reshaping where the technology sector looks for its next energy source.