Valuing Value Chains: On Canadian AI Regulation, Co-Governance, and the Scope of AI Value Chains

Abstract

This chapter critically examines Canada’s emerging framework for regulating artificial intelligence (AI) systems through the lenses of two theoretical approaches to AI governance: AI value chain governance and co-governance. We review major federal initiatives that have been launched in Canada to support the regulation of AI systems, including strategies, policies, legislation, standards, and guidance documents. Drawing upon theories of value chain governance and co-governance as well as lessons learned from AI governance initiatives in the European Union and United States, we identify three opportunities for strengthening Canadian AI regulation. We argue that Canada should widen the scope of societal and environmental impacts that fall within its approach to regulating “AI value chains”, develop more application-specific and sector-specific AI policies, and make greater efforts to promote public participation and collaboration on AI governance across governments, departments, sectors, and civil society.

Keywords: Artificial intelligence, AI ethics, tech policy, governance, regulation, participatory governance, supply chains, value chains