AI provider liability hinges on pricing, not tech, argues economist Joshua Gans

joshgans · x · 2026-09-22

Joshua Gans analyzes the ongoing cybersecurity game where attackers and defenders both use AI to find vulnerabilities—one to exploit, one to patch. What matters isn't the tech but the AI provider's price: token prices hit attackers, defenders and productive users alike, and providers lack incentives to keep prices high. Liability on providers would alter the game, reducing defence incentives and thus attacker intensity.

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