Advertisements running in New York that feature artificial intelligence-generated people will have to run a label stating a 'synthetic performer' is being used.

If it fails to do so, it will be violating state law. The law, signed in December by Gov. Kathy Hochul, went into effect on 9 June.

Synthetic performers are defined as 'digitally-created media that appear as a real person.'

The law applies to ads across media.

Ads that don’t 'conspicuously disclose' that they have used a synthetic performer will be penalised for USD 1,000 for a first violation and USD 5,000 for further violations.

However, there are exemptions. These include ads for movies, television shows, streaming content, video games and other works that feature synthetic performers in the entire work. It also doesn’t apply to audio advertisements or ads where AI is solely used for language translation.

The American Association of Advertising Agencies (4As) and several other advertising organisations issued statements in strong opposition to the law, according to many media reports.

The 4As, stated that it would hurt advertisers and bring uncertainty into the advertising process. It also stated that it will undermine creative and technological innovation.