On June 9th, a new law requiring advertisers to disclose the use of AI-generated people in their ads went into effect in New York. The state labels these AI characters “synthetic performers,” and the statute is aimed at protecting consumers and creative workers alike from ads that blur the line between fact and fiction.
The synthetic performers disclosure law, which passed in December 2025, is the latest chapter in New York’s legislative approach to AI technology. The state has passed several AI regulations under Governor Kathy Hochul, including protections for children, prohibitions on some deepfake images, and a similar AI disclosure rule for political ads. This new law serves a dual purpose:
- Protecting performers in New York’s film and television industry, especially performers
- Ensuring consumers are protected against misleading information with accurate labels
What The Law Means for New York Advertisers
Under the statute, synthetic performers are defined as AI-generated characters that are meant to resemble real people. Advertisers are required to “conspicuously disclose in such advertisement” the use of generative AI technology or face a penalty of $1000 for the first violation and $5000 for each subsequent violation. It does not prohibit the usage of AI or AI-generated performers but instead focuses on transparency through explicit disclosure.
The bill carved out notable exceptions for ads for “motion pictures, television programs, streaming content, documentaries, video games, or other similar audiovisual works.” It also does not apply to audio ads or ads where AI was used for language translation.
In practice, these disclosures are similar to what is required for products like dietary supplements or over-the-counter medicines, where ads often make claims about health benefits. Ads with AI disclosures might look similar to celebrity product endorsements today (the latter of which are required to be labeled as an ad, sponsorship or paid partnership).
Is Using Synthetic Performers Worth It?
Even though the statute doesn’t prohibit advertisers from using AI-generated people, even ads with proper disclosures might not be a good idea for advertisers. Negative public sentiment about AI is significant:
- A 2025 Pew Research study found 66% of adults are highly concerned about people getting inaccurate information from AI. 59% have not too much or no confidence in U.S. companies to develop and use AI responsibly.
- A 2025 YouGov study found 44% of Americans have a negative feeling about AI.
- 2024 research on AI-generated ads by NielsonIQ found that consumers could identify such ads but found them “less engaging and more ‘annoying,’ ‘boring,’ and ‘confusing’ than traditional ads.”
Advertisers must consider the negative sentiment that could result from the use of AI-generated synthetic performers. A strategic marketing partner like Niki Jones Agency can help organizations decide when it makes sense to utilize AI in ads and how best to do so.
How is Niki Jones Agency Using AI in Advertising Responsibly?
At Niki Jones Agency, we have strategically integrated AI technology into our workflows to streamline research, overcome creative blocks, and identify missed opportunities in our solutions.
AI-generated assets are meticulously guided, refined, and fact-checked by our human creative team, ensuring authentic and impactful communication. AI doesn’t replace our people or their creativity; it is a powerful tool that maximizes the impact of our work.
Niki Jones Agency is your partner in making decisions about utilizing AI in advertising responsibly and integrating it into an effective marketing strategy.
Contact us at 845-856-1266 or info@nikijones.com to set up a consultation today.