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Secret Cyborgs: The Hidden Risk Your AI Governance Policy Is Missing
Interview
October 16, 2026

Secret Cyborgs: The Hidden Risk Your AI Governance Policy Is Missing

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Earlier in 2026, Utah’s Office of AI Policy announced a limited sandbox program with Doctronic and Legion Health for prescription refills. That program, built on top of a three-tiered mitigation agreement between the state of Utah and Doctronic/Legion Health, generated considerable criticism from physicians nationwide at the time of its approval. Utah’s own Medical Licensing Board called for its immediate suspension.

Notably, Doctronic and Legion Health served prescription refills, only, meaning their autonomy was mitigated by a physician who had already written the original prescription. Now, Utah is pushing the envelope even further. Last week, Utah reached a mitigation agreement with Nolla Health to use AI-powered intake to issue new prescriptions for mild-to-moderate acne treatment. In the pilot’s foundational stages, physicians will sign off on all prescriptions. Later, Nolla may prescribe drugs without rigorous review, pending state approval. 

Nolla's exaggerations

Its mandate is limited, but Nolla is bullish. The company, which raised $4.5 million in initial funding last year from investors including General Catalyst, intends to expand beyond acne vulgaris. Its co-founder’s self-crowning as “the first company in the US (and possibly the world) authorized to let AI prescribe medication autonomously” speaks to those lofty ambitions.

Nolla’s self-congratulations, however, are, plainly, incorrect. In fact, Nolla has yet to receive any “authorization.” Utah’s Office of AI Policy doesn’t authorize AI ventures; it waives state regulations, including those governing the practice of medicine, so they can be tested. Moreover, the FDA classifies AI devices which make autonomous clinical decisions as SaMD (software as a medical device), forcing innovators to obtain premarket approval or 510(k) clearance. The FDA specifically names diagnosis as a regulated function.

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