Argentina is moving ahead with an ambitious proposal to create a new legal category for AI-operated businesses, but despite the futuristic vision, humans will remain legally responsible for how these companies operate.
President Javier Milei has proposed legislation that would allow the creation of “non-human corporations” managed primarily by artificial intelligence. If approved, Argentina would become the first country to establish a legal framework specifically for AI-run companies. The proposal is part of a broader effort to modernize corporate law, reduce bureaucracy, and position Argentina as a global hub for AI investment.
However, legal experts say the proposal is less radical than it initially appears. The draft law requires every automated company to have at least one human administrator who is responsible for supervising AI systems and ensuring legal compliance. While AI may make many operational decisions, the human administrator cannot avoid accountability for the outcomes.
The legislation also states that companies will remain liable for damages caused by AI or algorithmic systems. According to the bill’s co-author, automated businesses already exist in limited forms, such as AI-powered cashierless stores, and the law is intended to provide a clearer legal framework rather than eliminate human responsibility.
Supporters argue that recognizing AI-driven companies in law could attract foreign investment by giving businesses greater legal certainty. Milei has repeatedly promoted Argentina as a potential AI hub, highlighting the country’s abundant energy resources and Patagonia’s cool climate as ideal for data centers.
The proposal also includes rules for decentralized autonomous organizations (DAOs) based on blockchain technology. However, it would require participants to be identified and registered, a provision that some cryptocurrency advocates say conflicts with the industry’s preference for anonymity.
Despite the innovation, technology and legal experts caution that legislation alone will not transform Argentina into an AI powerhouse. They argue that success will depend on attracting skilled talent, investment, computing infrastructure, and energy resources. The consensus is that AI may increasingly manage business operations, but human oversight and accountability will remain essential for the foreseeable future.
