Requires artificial intelligence companies to conduct safety tests and report results to Office of Information Technology.

New Jersey's S 3742 requires all companies selling, developing, or deploying artificial intelligence technology in the state to conduct annual safety tests on their AI products and submit detailed reports to the Office of Information Technology. The safety tests must assess cybersecurity risks, potential biases, data inaccuracies, and legal compliance (including copyright or patent issues), with reports including a list of tested technologies, test descriptions, third-party testers used, and results. This directly affects all private and public entities offering AI technology within New Jersey, mandating transparency about their products' safety. The Office of Information Technology will review these annual reports to ensure compliance with established safety standards.