Summary by Futu AI
On May 8, 2024, Trillium Asset Management, LLC, a shareholder of Alphabet Inc., submitted a proposal urging the company to amend its Audit and Compliance Committee charter to include explicit oversight of Alphabet's artificial intelligence (AI) activities. The proposal, known as Item #11, highlights the need for better governance in light of rapid AI advancements and associated risks to society and the economy. Trillium, along with co-filer Mercy Investment Services, Inc., points to Microsoft's proactive measures in AI oversight as a precedent for tech companies. Alphabet has faced several AI controversies, including ethical lapses and the 2024 Gemini controversy, which have raised concerns about the company's commitment to responsible AI development. Trillium argues that explicit AI oversight by the board would align with investor interests, help maintain public trust, and ensure responsible AI development. The proposal calls on shareholders to vote in favor of enhancing AI oversight to balance market demands with ethical considerations and to hold Alphabet accountable for its AI initiatives.