Lessons from the Past: What Steam Engines Teach Us About AI Regulation

AI might be the latest technological frontier, but the challenges surrounding its regulation are nothing new. History has shown that whenever a groundbreaking technology emerges, regulation struggles to keep pace. The steam engine—a defining invention of the Industrial Revolution—faced a similar trajectory: rapid innovation, serious safety risks, and eventually, the introduction of regulatory standards.

Today, AI is following that same pattern. While governments and industry leaders are working on AI regulations, the rules are still evolving, and in many cases, not moving fast enough to match AI’s rapid deployment. If history is any guide, waiting too long to establish clear safety standards will only lead to avoidable failures, public distrust, and rushed, reactive laws.

The Steam Engine’s Regulatory Struggles: A Familiar Pattern

The steam engine revolutionized transportation and industry, but early versions were dangerously unreliable. Boiler explosions were common, train derailments caused mass casualties, and factory steam engines posed severe hazards to workers. The problem wasn’t the technology itself—it was the lack of safety measures and industry-wide standards.

For years, companies pushed for faster, more powerful steam engines without enforceable limits on pressure, materials, or maintenance protocols. Manufacturers prioritized speed and efficiency over safety, often with disastrous consequences.

Eventually, governments stepped in. In the UK, the Boiler Explosions Act of 1882 introduced safety inspections and operational requirements. Similar regulations followed across Europe and the U.S., creating standardized safety protocols that made steam engines more reliable. The result? Steam technology continued to advance—but with fewer catastrophic failures.

How AI Faces Similar Regulatory Challenges

AI may not physically explode, but its risks are just as serious. The technology is already making life-altering decisions—determining who gets medical treatment, approving or denying loans, assisting in criminal sentencing, and controlling self-driving vehicles.

The parallels with the steam engine era are clear:

• Rapid innovation outpacing regulation – AI is evolving faster than the rules governing it, leaving policymakers scrambling to catch up.
• High-risk failures leading to public distrust – Just as steam explosions made people fear trains, biased AI systems, flawed medical models, and unreliable automation are creating skepticism around AI’s reliability.
• Industry-driven resistance to regulation – Many AI companies argue that strict oversight will slow down innovation, just as steam engine manufacturers once resisted safety mandates.

AI regulations are being developed, but they aren’t yet comprehensive or enforceable enough to prevent the technology from causing harm at scale. The lesson from the steam engine era? Regulations should be proactive, not reactive.

What AI Can Learn from Steam Engine Regulation

The history of industrial regulation offers clear takeaways for AI governance.

1. Safety Measures Must Be Enforced Before Major Failures Happen

   • Governments waited too long to regulate steam engines, only acting after repeated deadly accidents. AI can’t afford the same reactive approach.
   • AI failures—whether biased hiring algorithms, unsafe autonomous driving, or unreliable medical diagnostics—shouldn’t be the wake-up call for regulation.
   • Proactive AI safety standards should be implemented now, before public trust is eroded by preventable failures.

2. Industry Standards Can Drive Innovation, Not Hinder It

   • When steam engine safety standards were introduced, the industry didn’t collapse—it became safer, more sustainable, and more widely adopted.
   • AI companies often resist regulation, fearing it will stifle progress. But in reality, clear guidelines create stability and public confidence, which ultimately fuels innovation.
   • The AI industry should work with regulators to develop practical, adaptive safety standards rather than resisting oversight altogether.

3. Regulators Must Have Technical Expertise

   • Early steam regulations were poorly enforced because inspectors lacked a deep understanding of the technology. Some rules were ineffective, while others were full of loopholes.
   • AI governance faces a similar problem: many policymakers don’t fully grasp how AI works, making it difficult to create meaningful, enforceable regulations.
   • Governments need AI specialists, not just policymakers, shaping regulatory frameworks.

4. Continuous Oversight Is Essential

• Steam engines required routine safety inspections to ensure ongoing compliance. AI needs the same: a one-time certification at launch isn’t enough—AI models evolve and adapt, meaning their risks change over time.
• AI regulations should include continuous audits, real-time monitoring, and ongoing validation, rather than treating compliance as a checkbox exercise.

AI Regulations Are Coming—But They Must Move Faster

Unlike in the steam age, regulators today recognize the risks of new technology much earlier. Governments and organizations are actively working on AI regulations, but they’re not moving fast enough to keep up with AI deployment.

Some key developments include:

• The EU AI Act – One of the first major AI laws, introducing a risk-based framework for AI oversight.
• The U.S. AI Bill of Rights – A proposed set of guidelines for AI fairness, transparency, and accountability.
• Industry-Led AI Standards – Organizations like ISO and NIST are developing best practices for AI safety and reliability.

These efforts are a step in the right direction, but they still lack enforcement mechanisms and global consistency. AI is being deployed now—waiting years for comprehensive laws increases the risk of preventable failures that damage public trust.

Final Thoughts: Regulate AI Before It’s Too Late

The history of steam engine regulation teaches us one critical lesson: waiting for a disaster to regulate new technology is reckless. AI is already shaping the world, and while safety measures are being implemented, they must move faster to match AI’s rapid evolution.

Just as steam engines became safer through enforceable standards, AI can (and must) do the same. Companies that embrace proactive safety, transparency, and continuous oversight won’t just comply with future laws—they’ll lead the industry by proving that responsible AI is the future of AI.