HHS Adopts ChatGPT, Ireland Opens National AI Office, and Malaysia Restricts Data Centers - AI Policy Brief #35

September 16, 2025 - AI Policy Brief
Hi there,

Welcome to this week's edition of the AI Policy Brief, your go-to source for the latest updates on AI regulations, safety standards, government policies, and compliance requirements from around the globe. This week, we're covering a range of significant developments, including the U.S. Department of Health and Human Services adopting ChatGPT for employee use as part of their AI plan, and the Irish Government opening a National AI Office to spearhead AI initiatives.

In addition, we delve into international policy changes, such as Malaysia restricting data center growth, which could impact China's access to AI chips. On the regulatory front, Australia is taking steps to block AI nudify apps, while the UK Parliament has launched an inquiry into AI and human rights. Stay informed with us as we explore these and other pivotal stories shaping the AI landscape.

National Policy

The Department of Health and Human Services has adopted ChatGPT for its employees, marking it as the first federal agency to utilize OpenAI's ChatGPT Enterprise offering. Meanwhile, the Irish Government has launched the National Artificial Intelligence Office to coordinate AI policy and align with EU initiatives, reinforcing Ireland's position in AI innovation.

International Policy

Malaysia is imposing restrictions on data centre growth, potentially affecting China's access to AI chips. Meanwhile, Peru has approved new AI regulations aimed at fostering economic and social development through ethical and responsible AI practices.

Regulatory Actions

Australia is set to introduce legislation to block AI tools that create nude images, aiming to prevent online abuse and protect children, as highlighted by Communications Minister Anika Wells. Meanwhile, STIM, Sweden's music rights organization, has launched a new licence for AI companies to use copyrighted songs for training, ensuring compensation for songwriters and composers.

Innovation & Investment

South Korea has announced an 8% increase in its 2026 budget for artificial intelligence, marking the largest hike in four years to enhance AI infrastructure. Meanwhile, Qlik plans to launch a new Canada Cloud region on AWS to support AI operations for Canadian enterprises, expected to be available in 2026.

AI Safety

California's AI Safety Bill SB 53, which mandates AI companies to disclose safety measures and provides whistleblower protections, is pending approval from Governor Gavin Newsom. Meanwhile, RiskThinking.ai has partnered with Canadian regulators to enhance flood risk analysis for the 2024 Standardized Climate Scenario Exercise.

Court Cases, Hearings and Lawsuits

In recent legal developments, a federal judge has blocked Anthropic's $1.5 billion settlement over copyright issues, citing concerns about transparency. Meanwhile, Penske Media Corporation has filed a lawsuit against Google for allegedly using their content to create AI-generated summaries, which they claim negatively impacts their business.

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