Trump Administration Puts AI Regulation Executive Order on Hold Amid Republican Backlash

Trump administration might not fight state AI regulations after all | TechCrunch

The Trump administration has been targeting state-level AI regulation, with the president declaring in a social media post this week that the industry needs "one Federal Standard instead of a patchwork of 50 State Regulatory Regimes." This comes after a 10-year ban on state AI regulation was initially included in Trump's "Big Beautiful Bill" before ultimately getting removed by the Senate in a 99-1 vote. The idea then apparently took on a new form, with the administration reportedly drafted an executive order that would establish an AI Litigation Task Force with a mission to challenge state AI laws through lawsuits. States with contested AI laws would also reportedly be threatened with the loss of federal broadband funding. Now, Reuters reports that the executive order has been put on hold. If signed, the order would probably face significant opposition, including from Republicans who previously criticized the proposed moratorium on state regulation. AI regulation has also been a controversial topic in Silicon Valley, with some industry figures -- especially those in the Trump administration -- attacking companies like Anthropic for supporting AI safety bills including California's SB 53.

Trump Takes Aim at State AI Laws in Draft Executive Order

US President Donald Trump is considering signing an executive order that would seek to challenge state efforts to regulate artificial intelligence through lawsuits and the withholding federal funding, WIRED has learned. A draft of the order viewed by WIRED directs US Attorney General Pam Bondi to create an "AI Litigation Task Force," whose purpose is to sue states in court for passing AI regulations that allegedly violate federal laws governing things like free speech and interstate commerce. Trump could sign the order, which is currently titled "Eliminating State Law Obstruction of National AI Policy," as early as this week, according to four sources familiar with the matter. A White House spokesperson told WIRED that "discussion about potential executive orders is speculation." The order says that the AI Litigation Task Force will work with several White House technology advisors, including the Special Advisor for AI and Crypto David Sacks, to determine which states are violating federal laws detailed in the order. It points to state regulations that "require AI models to alter their truthful outputs" or compel AI developers to "report information in a manner that would violate the First Amendment or any other provision of the Constitution," according to the draft. The order specifically cites recently enacted AI safety laws in California and Colorado that require AI developers to publish transparency reports about how they train models, among other provisions. Big Tech trade groups, including Chamber of Progress -- which is backed by Andreessen Horowitz, Google, and OpenAI -- have vigorously lobbied against these efforts, which they describe as a "patchwork" approach to AI regulation that hampers innovation. These groups are lobbying instead for a light touch set of federal laws to guide AI progress. "If the President wants to win the AI race, the American people need to know that AI is safe and trustworthy,' says Cody Venzke, senior policy counsel at the American Civil Liberties Union. "This draft only undermines that trust." The order comes as Silicon Valley has been upping the pressure on proponents of state AI regulations. For example, a super PAC funded by Andreessen Horowitz, OpenAI cofounder Greg Brockman, and Palantir cofounder Joe Lonsdale recently announced a campaign against New York Assembly member Alex Bores, the author of a state AI safety bill. House Republicans have also renewed their effort to pass a blanket moratorium on states introducing laws regulating AI after an earlier version of the measure failed.

Here's the Trump executive order that would ban state AI laws

President Donald Trump is considering signing an executive order as soon as Friday that would give the federal government unilateral power over regulating artificial intelligence, including the creation of an "AI Litigation Task Force" overseen by the Attorney General, "whose sole responsibility shall be to challenge State AI laws." According to a draft of the order obtained by The Verge, the Task Force would be able to sue states whose laws are deemed to obstruct the growth of the AI industry, citing California's recent laws on AI safety and "catastrophic risk", and a Colorado law that prevents "algorithmic discrimination". The Task Force will occasionally consult with a group of White House Special Advisors, including David Sacks, billionaire venture capitalist and the Special Advisor for AI and Crypto. In recent days, Trump has repeatedly posted his desire to have a state AI law moratorium, and reiterated it on Wednesday during his appearance at the U.S.-Saudi Investment Forum, couching it as a way to fight "woke" ideology. "You can't go through 50 states. You have to get one approval. 50 is a disaster. Because you'll have one woke state and you'll have to do all woke. You'll be back in the woke business. We don't have woke anymore in this country. It's virtually illegal. You'll have a couple of wokesters." As part of the AI Action Plan released earlier this year, Trump had directed several federal agencies, including the FCC, to explore ways that they could circumvent "onerous" state and local regulations in order to promote the industry's growth and innovation. The full executive order lays out a 90-day roadmap for several key agencies to implement that plan along with the Department of Justice: the Federal Trade Commission, the Department of Commerce, and the Federal Communications Commission. Within 90 days of the order being signed, the Secretary of Commerce will be directed to publish a report identifying which states are in violation of Trump's AI policy directives, as well as research which states may become ineligible for the Broadband Equity Access and Deployment (BEAD) program, which funds rural broadband access for several states. The FTC, meanwhile, will be directed to issue a statement on whether states that require AI companies to change their algorithms would be in violation of laws prohibiting unfair and deceptive practices. During an appearance at Politico's AI & Tech Summit in September, FCC Commissioner Brendan Carr floated one potential interpretation of the Communications Act that would allow them to override state law. "Effectively, if a state or local law is effectively prohibiting the deployment of this 'modern infrastructure,' then the FCC has authorities to step in there," he told Politico's Alex Burns. Carr also brought up the possibility that the FCC's regulatory powers could override a potential new law in California that would have required AI companies to disclose their safety testing models, saying that it would fulfill Trump's goal of blocking "woke AI" that contained ideological biases. He cited the European Union's Digital Safety Act and raised his concern "their AI models are not going to be truth seeking AI models, but they're going to be woke AI models, going to be AI models that are promoting DEI. And so again, President Trump has, as part of his action plan, steps to make sure that we don't have that type of woke DEI embedded AI models developing here. When it comes to California, again, not familiar exactly with all the intricacy of that, but to the extent that they're moving in that direction and away from truth seeking, it could be a problem." The notion that the FCC should have veto power over state AI laws -- as well as other parts of Trump's order -- could easily be challenged in court. But moves like the litigation task force could still throw up roadblocks to states regulating AI. Punchbowl News reported on Wednesday that the executive order is the White House's backup plan should Congress fail to pass a state AI law moratorium, this time via the upcoming reauthorization of the National Defense Authorization Act -- a bill that absolutely must pass in order for the government to fund its national security apparatus. Earlier this year, Congress attempted to slip a moratorium into a draft of Trump's "Big, Beautiful Bill" that laid out the spending for his second term agenda, but it failed after a bipartisan group of Senators voiced opposition to the act. Earlier this week, House Majority Leader Steve Scalise told Punchbowl News that Congress was considering a second run at a moratorium by attaching it to the NDAA. But just like the Big, Beautiful Bill fight, a moratorium buried inside the NDAA's passage might run into opposition particularly if the punishment is the same: the withholding of rural broadband funding. "The real question is, how big of a grant does it take to put pressure on state lawmakers to change their AI regulations?" said Thierer. "This came up in the previous moratorium fight and some people worried that California would just ignore BEAD-related budget threats, for example. It might take multiple budget revocations or limitations to really put pressure on a state as big as California."

State-level AI regulation under threat from Repubs again

If at first you don't succeed, swing again - Big Tech certainly isn't complaining The Trump administration and congressional Republicans are trying again to eliminate state-level AI regulations in favor of a federal standard. The plan faces opposition from many state governments and civil-society organizations, while AI vendors have welcomed it. Not a party to be dissuaded by their own long-held view that states' rights to self-determination should preempt federal overreach, Republicans are trying two different approaches to getting a state-level AI regulation ban on the books after failing to pass the measure as a rider on Trump's budget reconciliation bill over the summer. This time around, Republicans in the House of Representatives want to find a way to add a ban on state-level AI regulation to the 2026 National Defense Authorization Act (NDAA). The must-pass bill has already made its way through the Senate without an AI ban amendment, and language for such a provision is currently in discussion, House Majority Leader Steve Scalise (R-LA) said earlier this week. Trump came out in support of the congressional measure, posting on his Truth Social platform that overregulation of AI threatens to undermine the industry's growth. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes," Trump said. "We can do this in a way that protects children AND prevents censorship." The Trump administration has also reportedly begun working on an executive order to block state-level AI regulation and penalize states that attempt to enforce such rules. Per an allegedly leaked copy of the executive order published by The Verge, the draft order would direct the US Attorney General to form a task force "whose sole responsibility shall be to challenge State AI laws, including on grounds that such laws unconstitutionally regulate interstate commerce." The reported draft order would also require the Secretary of Commerce to publish a report on all state AI laws that should be referred to the task force, and direct the Commerce Secretary to begin withholding Broadband Equity, Access, and Deployment (BEAD) funding for rural broadband expansion from states with such laws on the books. The draft EO also proposes having federal agencies withhold other discretionary grant funding from states with AI regulations, as well as asking the Federal Trade Commission to formalize legal reasoning that makes state-level AI rules illegal under the FTC Act's interstate commerce protections. Trump is also asking advisors to put together a framework for more formal federal AI regulation in the draft EO. "A patchwork regulatory framework ... forces compliance with the lowest common denominator and allows the most restrictive states to dictate national AI policy at the expense of America's domination of this new frontier," the draft EO argues. The White House declined to tell The Register whether the draft EO we reviewed was legitimate, instead saying that any discussion about potential executive orders prior to their publication was purely speculative. There was broad opposition to the previous attempt by the Trump administration and Republicans to block state-level AI regulations, and it's no different this time around. A group of more than 250 organizations sent a letter to Congress on Wednesday asking them not to add their proposed state AI law ban. Led by Demand Progress, signatories included Mozilla, SAG-AFTRA, the Tech Oversight Project and others. "The only people who want to ban states from enacting AI safeguards are Big Tech executives and the allies they bought in Congress and the White House," said Demand Progress policy director Emily Peterson-Cassin. The Trump administration has been taking many of its AI regulation cues from the AI industry itself since coming into office, leaving many worried that federal AI regulation under the current American regime would basically be a free-for-all. "Larger players have the resources to manage a patchwork of state laws, but they see compliance with them as a burden that slows development and limits their freedom to deploy systems on their own terms," the Center for American Progress said in a report on Wednesday, expressing concerns over this second attempt to ban state-level AI regulation. "Preemption would reduce the scrutiny they face at the state level and shield their models and practices from accountability," CAP said. "It is crucial, then, that in any debate over federal preemption, it is clear who is asking for it, who stands to gain, and what will be lost if states are pushed out of the AI governance space." As of now, there's still no comprehensive federal AI law, so if Congress blocks state AI rules without passing strong federal standards, much AI activity would remain governed by older, general-purpose laws and agency guidance. "Congress has an important role to play in setting national rules for AI, but that work should not start by pushing states aside," CAP said in its report. "Congress should reject any push to centralize control at the expense of state power." That call is likely to fall on deaf ears, even thought Republicans are supposedly all about state power when it meets their policy goals. ®

Donald Trump's support for pro-AI proposal fuels Maga backlash

A plan backed by Donald Trump to restrict US states from regulating AI companies has provoked a backlash from prominent Republicans and Maga supporters, and accusations that he has caved to Big Tech donors. The US president on Tuesday called for "one Federal Standard instead of a patchwork of 50 State Regulatory Regimes" to support the sector's growth, despite vehement opposition from some Republican senators and governors. The White House is even considering an executive order that would potentially withhold federal funds from states who attempt to pass AI laws, according to a person familiar with the matter. Trump's backing of a federal framework -- a priority for Silicon Valley lobbyists who fear restrictions on AI from some states -- came two weeks after a group backed by venture capital firm Andreessen Horowitz and an OpenAI co-founder was formed in Washington in part to fight state-led legislation. Build American AI's leader Nathan Leamer visited the White House just hours before Trump announced his decision to back the move that had already ignited outrage among some Republicans. "Shows what money can do," US Senator Josh Hawley, who helped derail an effort to restrict state-led AI regulation earlier this year, wrote of the similar proposal's revival earlier this week. The criticism from within Trump's own party comes amid disquiet in the Maga movement about his handling of an affordability crisis in the US and over his relationship to the late sex offender Jeffrey Epstein. Florida Governor Ron DeSantis said the plan supported by Trump was "an insult to voters". The proposal would "prevent states from protecting against online censorship of political speech, predatory applications that target children, violations of intellectual property rights and data centre intrusions on power/water resources". An attempt to stop states from making their own AI rules for a decade failed in the summer after a revolt from Republicans in Congress, Trump allies such as Steve Bannon and child safety campaigners. The measure to restrict the state was defeated by 99 votes to one in the Senate. Anxiety over AI tools has sharpened in recent months amid reports of users dying by suicide following interactions with chatbots and the proliferation of AI-generated pornography. The industry's own leaders have warned that the technology will herald widespread job losses, while some analysts fret that a boom in AI investment is creating a bubble in financial markets. But pressure from Big Tech bosses, Trump's AI tsar David Sacks and a $100mn fund to help promote pro-AI congressional candidates has helped revive a similar proposal to restrict state AI laws, winning the president's support. A tech official with knowledge of negotiations on Capitol Hill said they were confident the new proposals would meet less resistance, as they could include child safety rules and safeguards around mental health. But senior Republicans have remained critical. Arkansas Governor Sarah Huckabee Sanders, who served as Trump's White House press secretary in his first term, came out strongly against the move. "Now isn't the time to backtrack," she wrote. "Drop the pre-emption plan now and protect our kids and communities." Conservative lawyer Mike Davis, who led the backlash against the moratorium in the summer, claimed the industry wanted a "licence to steal and profit from copyright owners across America". He said the move would "harm conservatives, children, communities and creators". Build American AI's Leamer told the Financial Times that while "there are real consternations from a number of different constituencies", the measure could now get through with support from Democrats. "It's based on the [coalitional] way we did crypto . . . it's truly about having a balanced policy," Leamer added. "You need the accelerationists and the people who are concerned about protecting consumers to work together, to make sure they are putting this framework together." Some Republicans in Congress have warned that Trump's embrace of lighter-touch AI regulation could hurt them electorally, according to a person close to the party leadership, amid concerns about job losses, high energy prices or child safety due to AI. A survey carried out by YouGov in June for the Institute for Family Studies, which campaigns for tighter AI regulations, found that just 18 per cent of voters supported the effort to stop states regulating the tech. Research by Pew in September found that about half of Americans feared AI would be detrimental to forming relationships. "It's hard to understand how, in any conceivable way, this is beneficial for the Republican party," Michael Toscano of the Institute for Family Studies said of the pre-emption proposals backed by Trump. "You can just imagine the presidential debate in 2028. Your party shoved through an AI pre-emption when voters were overwhelmingly opposed to it. Now, this boy has committed suicide. Now, these workers are out of work. Now the voices of these religious communities are being drowned out."

What to know about Trump's draft proposal to curtail state AI regulations

President Donald Trump is considering pressuring states to stop regulating artificial intelligence in a draft executive order obtained Thursday by The Associated Press, as some in Congress also consider whether to temporarily block states from regulating AI. Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties -- as well as civil liberties and consumer rights groups -- worry that banning state regulation would amount to a favor for big AI companies who enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing. Four states -- Colorado, California, Utah and Texas -- have passed laws that set some rules for AI across the private sector, according to the International Association of Privacy Professionals. Those laws include limiting the collection of certain personal information and requiring more transparency from companies. The laws are in response to AI that already pervades everyday life. The technology helps make consequential decisions for Americans, including who gets a job interview, an apartment lease, a home loan and even certain medical care. But research has shown that it can make mistakes in those decisions, including by prioritizing a particular gender or race. "It's not a matter of AI makes mistakes and humans never do," said Calli Schroeder, director of the AI & Human Rights Program at the public interest group EPIC. "With a human, I can say, 'Hey, explain, how did you come to that conclusion, what factors did you consider?'" she continued. "With an AI, I can't ask any of that, and I can't find that out. And frankly, half the time the programmers of the AI couldn't answer that question." States' more ambitious AI regulation proposals require private companies to provide transparency and assess the possible risks of discrimination from their AI programs. Beyond those more sweeping rules, many states have regulated parts of AI: barring the use of deepfakes in elections and to create nonconsensual porn, for example, or putting rules in place around the government's own use of AI. The draft executive order would direct federal agencies to identify burdensome state AI regulations and pressure states to not enact them, including by withholding federal funding or challenging the state laws in court. It would also begin a process to develop a lighter-touch regulatory framework for the whole country that would override state AI laws. Trump's argument is that the patchwork of regulations across 50 states impedes AI companies' growth, and allows China to catch up to the U.S. in the AI race. The president has also said state regulations are producing "Woke AI." The draft executive order that was leaked could change and should not be taken as final, said a senior Trump administration official who requested anonymity to describe internal White House discussions. The official said the tentative plan is for Trump to sign the order Friday. Separately, House Republican leadership is already discussing a proposal to temporarily block states from regulating AI, the chamber's majority leader, Steve Scalise, told Punchbowl News this week. It's yet unclear what that proposal would look like, or which AI regulations it would override. TechNet, which advocates for tech companies including Google and Amazon, has previously argued that pausing state regulations would benefit smaller AI companies still getting on their feet and allow time for lawmakers develop a country-wide regulatory framework that "balances innovation with accountability." Some Republicans in Congress have previously tried and failed to ban states from regulating AI. Part of the challenge is that opposition is coming from their party's own ranks. Florida's Republican governor, Ron DeSantis, said a federal law barring state regulation of AI was "Not acceptable" in a post on X this week. DeSantis argued that the move would be a "subsidy to Big Tech" and would stop states from protecting against a list of things, including "predatory applications that target children" and "online censorship of political speech." A federal ban on states regulating AI is also unpopular, said Cody Venzke, senior policy council at the ACLU's National Political Advocacy Department. "The American people do not want AI to be discriminatory, to be unsafe, to be hallucinatory," he said. "So I don't think anyone is interested in winning the AI race if it means AI that is not trustworthy."

White House threatens states with lawsuits over AI regulation

Serving tech enthusiasts for over 25 years. TechSpot means tech analysis and advice you can trust. What we know so far: Supporters of federal action on national AI policies and standards insist that harmonized oversight is necessary to compete globally, especially with rivals like China. However, state officials and local experts argue that regional nuances are essential for managing rapidly evolving risks. The outcome of federal legal challenges will set important precedents, not only for artificial intelligence but also for the scope of presidential power and the dynamics of American federalism in the digital age. The Trump administration is preparing to challenge state-level laws on artificial intelligence through a new executive order, marking a significant escalation in the ongoing debate over federal versus state authority in tech regulation. The plan, which the Washington Post confirmed through sources familiar with internal White House discussions, would empower the Justice Department to file lawsuits against states that enact AI regulations, alleging that these measures obstruct interstate commerce and threaten the coherence of national policy objectives. This approach raises unresolved questions about constitutional limits on executive branch authority and the balance of power between federal and state governments. The administration's draft executive order, reviewed by select outside parties, seeks to centralize federal oversight of artificial intelligence. Its directive would require the Justice Department to actively contest state statutes and regulations related to AI, framing such actions as impediments to national innovation and commerce. Legal experts warn that this maneuver tests the outer boundaries of presidential powers. This initiative follows a breakdown in congressional negotiations earlier in the year, when Senate Republicans - traditionally champions of state sovereignty - were divided over whether to preempt state AI laws through blanket federal measures. That legislative effort collapsed amid concerns about emerging AI threats to workforce stability, child safety, and energy costs, topics now drawing bipartisan attention on Capitol Hill. The administration's technology agenda has prioritized modernizing and building data centers for AI workloads, improving the national electricity grid to accommodate increased power demand, and advancing high-performance computing resources. Trump's executive actions earlier in 2025 established minimum data quality standards, expanded federal access to data for AI systems, and called for resilient infrastructure to support innovation. One notable aspect of the draft order is the creation of a federal task force to analyze state laws for potential conflicts with free speech. The Commerce Department, in coordination with this task force, would be authorized to suspend federal broadband funding to any state judged to be interfering with open AI development - a move seen as a powerful enforcement mechanism embedded within the policy. The plan has triggered vigorous discussion within the technology sector and civil liberties organizations. Critics argue that attempts to preempt state laws - especially through executive fiat - ignore established processes for legislative debate and democratic self-governance. Civil society advocates cite the constitutional principle that congressional action, not executive orders, should determine federal preemption questions in regulatory matters. They warn that sidelining state innovation could worsen real risks, such as algorithmic bias, privacy violations, and the social impact of automation. Despite resistance, the administration has continued to advocate for a unified national AI policy, with President Trump and congressional allies proposing amendments to major legislation, including the annual defense authorization bill, to embed a federal AI standard. However, opposition within the Republican Party is growing - most recently expressed by Ohio and Florida governors and activists.

Republicans and Europe Agree: It's Time to Make Life Easier for AI Companies

The White House and European leaders rarely see eye-to-eye on much, but they are gradually finding common ground on the issue of deregulating AI companies to spur even more unfettered development. The EU's executive branch, the European Commission, announced on Wednesday that it wants to "simplify" its AI and privacy laws. The move is impacting two major pieces of European tech regulation that have had a global impact: the first-of-its-kind AI Act of 2024 and the General Data Protection Regulation (GDPR), a comprehensive online privacy law that reshaped the internet when it passed in 2018. For the GDPR, that's going to look like slashing data privacy laws for the sake of AI. Under the proposed changes, tech companies will have more leeway to use anonymized user data to train their AI models. "Artificial intelligence is becoming a driving force of our economies, both in the tech sector and beyond, as it provides new solutions across industries. To be able to compete in this new global market, the EU must be able to fuel AI with high-quality data," the Commission wrote while explaining the new changes. The bloc's sweeping cookie laws will also get a revamp. That set of regulations was to blame for the global influx of cookie pop-ups, as many companies found it easier to switch their systems completely rather than create a Europe-specific version of their websites. If the new proposals are accepted, the EU will reduce the pop-ups by allowing users to save their cookie preferences in browsers, in a move that was largely expected for some time now. For the landmark AI Act, that simplification would include delaying the enforcement of some key facets. Although it went into law in 2024, the act's stricter rules on AI systems that have been deemed "high-risk" were going to be applied after a grace period ending in August 2026. The latest proposal wants to delay that until "standards, specifications and guidelines are in place," the Commission's executive vice-president Henna Virkkunen said in remarks. High-risk AI includes technology that is used to profile people in use cases like biometrics, job applications, border control, and more. These proposals are not law yet. They will first be submitted to the European Parliament, where they need the approval of a qualified majority. The main objective of this regulatory loosening is to boost European tech competitiveness, the Commission said, and Wednesday's proposals are apparently only "the first step." While it's not certain how much the Trump administration's pro-tech anti-regulation push has impacted the European Commission's thinking, one official wasn't afraid to make the connection. "No one is fooled over the transatlantic origin of these attempts," the EU's former commissioner for the internal market Thierry Breton wrote in an op-ed published by the Guardian. "We can’t let ourselves be intimidated." President Trump has defined the EU's attempts to regulate American tech as "overseas extortion," and made fighting it a central point of his trade offensive against the EU. Standing ten toes behind him in this fight are Silicon Valley giants. "Europe has an ever-increasing number of laws institutionalizing censorship and making it difficult to build anything innovative there," Meta CEO Mark Zuckerberg said in January ahead of Trump's inauguration. "We're going to work with President Trump to push back on governments around the world that are going after American companies." Meanwhile, it's been a good day for AI companies stateside as well. Republicans are gunning for a moratorium on state AI laws, either as a standalone bill or to be added to the National Defense Authorization Act, which is likely to be finalized soon and voted on next month. Trump posted in support of that in his Truth Social account on Tuesday night, saying that "we MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes." It's not clear, though, if that moratorium request would pass. A similar Republican attempt to add a moratorium in the Big Beautiful Bill fell through, mostly because of worries that it would help AI companies evade regulation on child safety laws. But in his second term, Trump has been no fan of waiting for Congress to advise and consent. On Wednesday, The Verge obtained a draft of an executive order that the President is reportedly expected to sign as soon as Friday. The order would create an “AI Litigation Task Force†that would be charged with suing states over laws that are determined to obstruct the progress of Big Tech's AI development. But this time around, while Congress ponders that moratorium, a pro-AI group is forming on the sidelines. According to Axios, Arizona Sen. Kyrsten Sinema will be co-chairing a new group that wants to "push back" on scrutiny of the AI industry. Called the AI Infrastructure Coalition, the organization will officially launch on Wednesday evening. The members allegedly include the usual pro-AI suspects like Andreessen Horowitz, Cisco, Meta, Google, Microsoft, and some energy companies.

White House drafts order directing Justice Department to sue states that pass AI regulations

Meta CEO Mark Zuckerberg, President Donald Trump, first lady Melania Trump and Microsoft co-founder Bill Gates attend a dinner for tech business leaders at the White House in September. (Matt McClain/The Washington Post) SAN FRANCISCO -- The Trump administration is drafting an executive order that would direct the Justice Department to sue states that pass laws regulating artificial intelligence, according to a copy reviewed by The Washington Post and confirmed by a person familiar with the White House effort, who spoke on the condition of anonymity to describe internal discussions. But the proposal could conflict with legal limits to presidential power. The proposed executive order comes after a split among Senate Republicans in July killed a proposal backed by the White House to block all state AI regulation, as part of Trump's signature tax and immigration law. It foundered after pushback from lawmakers in both parties concerned about the need to protect Americans from potential harms caused by AI. The White House declined to comment for this article. Worries over the technology's impact on jobs, potential harms to children and increased electricity prices due to energy consumption by data centers that power AI software are becoming major political issues for lawmakers in both parties. Pew Research Center found in a June survey that 50 percent of Americans are more concerned than excited about increased use of AI in daily life. The Republican Party has traditionally been vocal about limits to federal power over states, as defined in the U.S. Constitution. If signed by President Donald Trump, the draft executive order would escalate his efforts to force states into line with his priorities during his second term. The Trump administration has sued several states in recent months, including California over a law that sought to block law enforcement officers from covering their faces, and New York and Vermont over laws that require oil companies to pay toward the cost of climate-related disasters. The draft AI order would direct the Justice Department to challenge state laws regulating the technology on the grounds that they interfere with interstate commerce. Travis Hall, state director at the nonprofit Center for Democracy & Technology, said the approach appeared to be unconstitutional. "Preemption is a question for Congress, which they have considered and rejected, and should continue to reject," Hall said. "This proposal is shocking in its disregard for the democratic processes of state governments in their work to address the real and documented harms arising from AI tools." The draft order would establish a federal task force to evaluate existing state laws on AI and identify whether they impinge on freedom of speech. Under the order, the commerce secretary would be directed to withhold federal funding for broadband internet from states identified as having such laws. Trump and Republican lawmakers have not given up on the idea of using Congress to limit state AI regulation. On Tuesday, the president wrote in a post on his social network Truth Social that the United States should have a single federal standard on AI, and suggested adding it to the defense authorization bill that passed the Senate last month and is now before the House. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes. If we don't, then China will easily catch us in the AI race," Trump said. On Wednesday, some GOP politicians and activists voiced opposition to that proposal. Republican governors Ron DeSantis from Florida and Spencer Cox from Utah both said in posts on X that they oppose efforts to pass a federal preemption. "Sneaking it into the defense bill is an insult to voters," DeSantis wrote. Cat Zakrzewski contributed to this report.

White House pulls back on AI laws executive order

No AI executive order for now. Credit: Win McNamee/Getty Images U.S. states can craft their own AI regulations without intervention from the federal government, for now, at least. Reuters reported that the Trump administration has paused a proposed executive order that would have preempted states from enacting their own AI laws. The draft order became a matter of public concern early last week, but the White House called it purely speculation and did not confirm its existence to Reuters. At this point, it appears that the federal government's efforts to block states from regulating AI on their own terms are at a standstill. That doesn't mean Trump and co. won't try again, of course. The Senate had to vote down a similar measure earlier this year by a staggering 99-1 count. The executive order that was paused last week would have used lawsuits and threats to withdraw federal funding and prevent states from regulating AI. It is very possible that Trump will try to find another way to prevent states from drafting their own AI laws, especially considering that companies like OpenAI and Google support such an idea, according to Reuters.

Republicans ready new proposal to block state AI laws

Why it matters: President Trump's draft executive order to thwart state AI laws may not be ready for prime time, so his Hill allies are scrambling to get the task done via Congress. State of play: The executive order, which was expected as soon as Friday, is likely to be delayed, multiple sources told Axios, and Capitol Hill is feeling the heat to provide a legislative play in the National Defense Authorization Act. Driving the news: A flurry of proposals were circulating in Washington on Thursday, from language mirroring California's major new AI law to a limited pre-emption model, multiple sources told Axios, noting all ideas were in flux. Reality check: The effort is a long shot. * The leaders of the Armed Services committees in each chamber are wary of including these provisions in the must-pass defense bill. * Democrats, civil society groups, and conservatives who are vocally in support of states' rights, including Govs. Ron DeSantis and Sarah Huckabee Sanders, will be a tough sell. * Republicans protective of their states' internet grants resisted tying them to AI regulation when Sen. Ted Cruz (R-Texas) tried that route this summer, and now that idea has resurfaced in Trump's draft executive order. What they're saying: The draft executive order to preempt state-level AI regulation has been widely denounced as a Big Tech power grab by many groups, but some tech, AI and startup leaders applauded it. * "This is obvious overreach. Congress explicitly rejected AI law preemption attached to broadband funding in a 99-1 vote," tech advocacy group Americans for Responsible Innovation president Brad Carson said. * California State Sen. Scott Wiener, who sponsored a major AI bill that was signed into law this year, said in a statement to Axios that "Trump thinks he's the king, but he's not. He has no power to issue a royal edict canceling state laws." * "AI has so much promise to improve people's lives -- cure diseases, help us fight climate change, etc. -- and as with any new technology, there are also risks. California has the power and the responsibility to both promote AI innovation and reduce those risks," Wiener added. Sens. Ed Markey (D-Mass.) and Elizabeth Warren (D-Mass.) sent a letter to Senate Democrats on Thursday calling for them to stay united in opposing the National Defense Authorization Act if it includes an AI moratorium. * "Democrats have direct control over whether the AI moratorium is enacted into law. Our message should be simple: Congress should not give Big Tech a multi-year holiday from state oversight," the letter states. What's next: Both chambers are aiming to vote on the annual defense policy bill in December, and lawmakers are now waiting to see the final version.

Trump administration wants to use federal power to challenge state AI laws

Trump argues winning the AI race is vital for national security Experts have warned AI is evolving much faster than any regulation can control, and that the flimsy safety laws we have in place are inadequate in protecting users and the wider society. But, even those flimsy protections may be overruled in the US, as new plans from the Trump administration see a new executive order giving the federal government unbridled power over states, creating an 'AI Litigation Task Force' which would look to challenge state AI laws. The draft document states the taskforce would look to remove all barriers and regulatory frameworks for American AI Leadership, emphasizing the importance for the US to lead the global technological revolution; 'Our national security demands that we win this race.' One particular target of the taskforce will be California's new AI safety laws, which the draft order calls 'complex and burdensome', claiming the bill is based on the 'purely speculative suspicion that AI might "pose significant catastrophic risk"'. The legislation also notifies states there is likely to be restrictions to funding for those that have implemented AI laws the administration deems to be onerous, or that require AI models to 'alter their truthful outputs, or that may compel AI developers or deployers to disclose or report information in a manner that would violate the First Amendment'. It's important to note the timing of this order. It's pretty widely expected that the AI bubble looks likely to burst at any minute, which in turn means many tech companies (and otherwise) who have gone 'all-in' on AI are now, it seems, in danger of imminent collapse - and in fact the whole world economy seems to be just circling the drain waiting for the at first domino to fall. So, by eliminating guardrails and regulations, the Trump administration is most likely looking to soften this blow by putting users and consumers in harm's way through deregulated and unrestricted AI with less transparency or accountability there to protect the public. Via The Verge

Trump's Draft Executive Order Targets States Enacting AI Transparency Laws

President Donald Trump is mulling an executive order that would block state laws requiring AI companies to publish transparency reports and disclose how they train models. The president has said he wants to prevent a "patchwork" of state laws and is pushing for a centralized federal approach to governing the technology. Drafts circulating among federal agencies outline a plan to challenge state laws through litigation, restrict certain federal funds, and accelerate the development of a national AI framework. According to Wired, which viewed the draft, the order would instruct Attorney General Pam Bondi to create an "AI Litigation Task Force" to contest state AI statutes viewed as conflicting with federal authority, including those alleged to infringe on the First Amendment or interstate commerce. The document asserts that "State legislatures have introduced over 1,000 AI bills that threaten to undermine that innovative culture," and warns that "Our national security demands that we win this race." The draft order identifies recently enacted laws in states such as California and Colorado that require companies to publish transparency reports and reveal how models are trained. The latter point is particularly pertinent to photographers: when AI models first began releasing, some firms, including Google and Stability AI, revealed their training data leading to backlash and lawsuits from creatives who found their work in the data set and feel it is illegally being used without permission or compensation. Photographer Jingna Zhang launched a lawsuit against Google along with three other artists who accuse the search giant of using their copyrighted work in the training of its AI image generator model Imagen. While Getty Images remains engaged in a legal battle against Stability AI, the company that made Stable Diffusion. However, the photo agency recently suffered a setback in a British court. Trump's order states that "American AI companies must be free to innovate without cumbersome regulation." In another passage, it argues: "My Administration will act to ensure that there is a minimally burdensome national standard -- not 50 discordant State ones." The White House has not officially confirmed the order. "Until officially announced by the WH, discussion about potential executive orders is speculation," an official tells multiple outlets. Trump has increasingly aligned with technology companies and advisers who favor limited regulation, including those urging federal preemption of state laws. He reiterated this view in a recent Truth Social post, stating that "overregulation by the states" threatens investment and competitiveness and asserting, "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes. If we don't, then China will easily catch us in the AI race." Civil liberties advocates have warned that the draft order could undermine public confidence in AI oversight. Cody Venzke of the ACLU tells Wired that "If the president wants to win the AI race, the American people need to know that AI is safe and trustworthy" and adds the proposal "only undermines that trust." Even if signed, the executive order would have limits. The administration cannot itself preempt state legislation; that authority rests with Congress. But the directive could spur legal challenges, influence agency rulemaking, and increase pressure on lawmakers as debates over AI regulation continue.

Trump looks to block states from making AI regulations

President Donald Trump on Tuesday urged Congress to block states from creating their own rules for generative artificial intelligence and said the country needs one federal standard to guide the sector. "Investment in AI is helping to make the U.S. economy the 'hottest' in the world, but overregulation by the states is threatening to undermine this major growth 'engine,'" Trump wrote on Truth Social. Referring to an incident in which Google's AI tool erroneously depicted one of the U.S. founding fathers as Black, he added: "Some states are even trying to embed DEI ideology into AI models, producing 'woke AI' (remember Black George Washington?)." He said: "We must have one federal standard instead of a patchwork of 50 state regulatory regimes. If we don't, then China will easily catch us in the AI race." Trump has placed a heavy emphasis on AI during his second term and has framed it as a strategic priority for America. Earlier this year, he instructed his administration to build an AI Action Plan aimed at positioning the country as "the world capital in artificial intelligence" and at clearing regulatory hurdles that industry supporters claim would limit growth. The president urged lawmakers to act through the National Defense Authorization Act or through a separate bill. He wrote that policymakers should "Put it in the NDAA, or pass a separate Bill, and nobody will ever be able to compete with America." House Republican leaders have been reviewing the option of adding the measure to the defense bill, according to Punchbowl News. The legislation often becomes a vehicle for policy proposals unrelated to defense spending. Jensen Huang, chief executive of the AI chip maker Nvidia, raised similar concerns earlier in November. He told the Financial Times: "China is going to win the AI race." He later wrote on X: "As I have long said, China is nanoseconds behind America in AI... It's vital that America wins by racing ahead and winning developers worldwide." However, Trump also claimed during an appearance with Saudi Arabian leader Mohammed bin Salman Tuesday that the U.S. was still "leading by a lot" in the AI race.

Trump Eyes Executive Order to Rein In Patchwork State AI Policies - Decrypt

House Republicans are exploring adding similar language to the must-pass defense spending bill after a 99-1 Senate defeat in July. President Donald Trump is reportedly seeking to axe state AI laws via an executive order that would override regulations in California and other states in an effort to centralize control in Washington. The draft order, seen by Axios, would direct Attorney General Pam Bondi to establish a task force to challenge state AI measures and restrict federal funding to states that pass laws deemed "onerous." It would also instruct the Federal Trade Commission to issue guidance on how existing consumer protection laws could preempt state AI regulations. AI and crypto czar David Sacks would oversee much of the implementation work outlined in the order, per the summary, which is still being revised and may change before any final release. Decrypt has reached out to White House for further comment. Sharon Klein, partner at Blank Rome and co-chair of the firm's Privacy, Security & Data Protection Practice, told Decrypt that such a mandate "would provide a floor for states that do not have AI statutes" and could be "beneficial to businesses in providing a baseline for compliance." But she noted that concerns about whether "a one-size-fits-all rulebook" could "slow emergency responses when AI-generated harms appear locally." It would also depend heavily on "the way the statute is implemented, funded, and enforced." The move comes as House Republicans consider using the must-pass National Defense Authorization Act (NDAA) as their final chance this year to advance state-level AI preemption, with Majority Leader Steve Scalise telling Punchbowl News they are "looking at" inserting the provision into the defense bill. The effort faces an uphill battle as in July, the Senate voted 99-1 to strip a 10-year moratorium on state AI laws from President Trump's "One Big Beautiful Bill,' with Senator Marsha Blackburn reversing her support for even a shortened 5-year compromise just one day after striking the deal with Senate Commerce Chair Ted Cruz. Trump amplified the urgency on Wednesday on Truth Social, warning that state overregulation threatens America's lead in the AI race. "Some States are even trying to embed DEI ideology into AI models, producing 'Woke AI,'" he wrote. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes. If we don't, then China will easily catch us in the AI race." The draft order states that American companies should be free to innovate "without cumbersome regulation," noting how state legislatures have introduced "over 1,000 AI bills" that could undermine the "innovative culture." Under the proposal, the Commerce Secretary would assess broadband funding eligibility based on states' AI laws within 90 days, while FCC chair Brendan Carr would initiate proceedings to determine federal disclosure standards that preempt conflicting state rules. The draft order specifically criticizes California's SB 53, calling its risk disclosure mandates for major AI developers "complex and burdensome." California also recently enacted SB 243, a separate law governing AI companion chatbots that requires them to self-identify and restrict certain content for minors.

From Steve Bannon to Elizabeth Warren, bipartisan backlash erupts over push to block states from regulating AI

New efforts this week in Washington to effectively ban individual states from governing artificial intelligence have provoked bipartisan backlash. The push from House Republicans and the White House to assert federal control over AI regulation, which echoes a similar attempt over the summer, has forged new lines of agreement between far-right commentators and progressive activists. "It's a coalition of almost everyone against a few extreme tech billionaires who are trying to buy unfettered power," said New York State Assembly Member Alex Bores, a proponent of states' ability to govern AI and a Democratic candidate for the U.S. House. "States protecting our citizens is overwhelmingly popular and bipartisan." A new poll released Friday night, conducted by YouGov in partnership with the conservative-leaning Institute for Family Studies, found that surveyed adults opposed congressional pre-emption efforts on AI by a 3-to-1 margin. Bores is a co-author of New York's RAISE Act, which looks to impose safety-monitoring and evaluation requirements on some of America's largest AI companies, among other measures. The act has passed the state Legislature and is awaiting New York Gov. Kathy Hochul's signature. The current push for federal AI pre-emption efforts, so called because they would pre-empt or prohibit states' ability to regulate AI, kicked off early this week. On Monday, Rep. Steve Scalise, R-La., told Punchbowl News that he and Republican leaders were considering introducing legislation overriding states' ability to legislate AI into the National Defense Authorization Act (NDAA). Amendments unrelated to national defense are often attached to the bill, as lawmakers view the NDAA as must-pass legislation and use it to include measures that would otherwise face stiffer opposition. The move provoked immediate pushback, with Sen. Brian Schatz, D-Hawaii, writing on X Monday night that the bill "is a poison pill and we will block it." On Tuesday, however, President Donald Trump came out in support of the effort on Truth Social: "Investment in AI is helping to make the U.S. Economy the 'HOTTEST' in the World -- But overregulation by the States is threatening to undermine this Growth Engine." Endorsing a ban on state AI regulation, Trump wrote: "Put it in the NDAA, or pass a separate Bill, and nobody will ever be able to compete with America." Prominent proponents of federal pre-emption efforts include White House AI czar David Sacks and several Silicon Valley venture capital backers. Sacks reposted Trump's comment on X Tuesday night. Marc Andreesen, co-founder of venture capital mainstay Andreesen Horowitz, followed up on Sacks' post, writing on X Tuesday night: "A 50-state patchwork is a startup killer. Federal AI legislation is essential." Yet several hours later, Florida Gov. Ron DeSantis denounced the efforts to prevent states from passing laws governing AI. Writing on X, DeSantis argued that federal pre-emption "takes away our sovereignty" and that "sneaking it into the defense bill is an insult to voters." The federal pre-emption efforts have also triggered stiff opposition from Republicans' populist MAGA flank. On his "War Room" podcast Wednesday, influential MAGA whisperer Steve Bannon criticized the moves and advocated for sensible AI regulations. "They're trying to slip this into another 9,000 page, must-pass NDAA, that they don't want to have a discussion about, in the dark of night," he said. Bannon said individuals seeking "a license to do nails up here on Capitol Hill" currently face more regulation than America's powerful AI companies. The fight over who regulates AI switched into a new gear Wednesday night, when a draft executive order designed to pre-empt state AI regulation leaked, as first reported by The Information. The order remains in draft form and might not be signed by Trump. The White House has not publicly commented on the draft order. The White House did not reply to a request for comment. On Thursday, Rep. Marjorie Taylor Greene, R-Ga., addressed the issue on X: "There should not be a moratorium on states rights for AI. States must retain the right to regulate and make laws on AI and anything else for the benefit of their state." Many opponents of the pre-emption efforts contend that, given slow-moving attempts to regulate AI at the federal level, a pre-emption could introduce a vacuum of AI regulation by failing to replace state legislation with sufficient federal law. Other opponents charge that a federal monopoly on AI legislation would threaten American liberty. Mark Beall, president of the bipartisan AI Policy Network advocacy group, told NBC News: "Without guardrails, Americans are concerned that AI will be used to erode our liberties and privacy," he said. "People who disagree on almost everything else agree that innovation shouldn't mean surrender," Beall said, arguing that sensible AI regulation would allow Americans to retain their civil liberties while still allowing tech companies to compete with China on cutting-edge AI technology. On Thursday, Massachusetts' Democratic senators, Elizabeth Warren and Ed Markey, urged their colleagues to fight the pre-emption effort given the gravity of risks from AI. In a joint statement, Warren and Markey wrote that pre-emption efforts "could block state policymakers from moving forward on basic, bipartisan protections, such as protecting children and teenagers online, combating deepfakes, slowing electricity price hikes, addressing the environmental impacts of data center buildout, preventing algorithmic discrimination, or safeguarding workers from dangerous AI-fueled workplace technology." "The AI moratorium would be a massive giveaway to Big Tech and [a] devastating defeat for Americans," they wrote. Max Bodach, executive vice president of the right-leaning tech think tank Foundation for American Innovation, said that AI's potential to shake up political divisions remains undervalued. "Political backlash to AI diffusion and infrastructure buildout is still underpriced as an issue that will increasingly come to dominate U.S. political discourse," Bodach told NBC News. "I expect to see more 'horseshoe' coalitions forming between center-left veterans of the 'tech-lash' fight, the new trustbusters, tech-skeptical social conservatives, and America First populists." "You're seeing this emergent coalition form in the reaction to the NDAA and executive order pre-emption push," he said. "I'm very curious to see how the more techno-optimist wings of civil society, industry, Congress, and the Trump administration respond." On Friday, according to Punchbowl News, Republican leaders urged the White House to delay any further action on the executive order as Scalise sought more time to include a pre-emption provision in the NDAA.

Trump has a draft proposal to block state AI regulations, reports

US Tech employee unions and NGOs have signed a letter opposing any such move, saying AI companies "making or using that bad tech would be unaccountable to lawmakers and the public". US President Donald Trump is considering pressuring states to halt state regulation of artificial intelligence (AI) in a draft executive order, according to The Associated Press, which obtained the document. Such a move will show how far Trump would help AI companies overcome the regulations that they say stifles innovation, as hundreds of public figures and AI experts warn that theAI race to superintelligenceraises concerns, ranging from human economic obsolescence, loss of freedom, and human extinction. Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties -- as well as civil liberties and consumer rights groups -- worry that banning state regulation would amount to a favour for big AI companies who enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing. What state-level regulations exist and why Four states -- Colorado, California, Utah and Texas -- have passed laws that set some rules for AI across the private sector, according to the International Association of Privacy Professionals. Those laws include limiting the collection of certain personal information and requiring more transparency from companies. The laws are in response to AI that already pervades everyday life. The technology helps make consequential decisions for Americans, including who gets a job interview, an apartment lease, a home loan and even certain medical care. But research has shown that it can make mistakes in those decisions, including by prioritising a particular gender or race. Hundreds of organisations, which include tech employee unions, tech safety and consumer protection nonprofits and educational institutions, signed letters to Congress this week opposing blocking state AI regulations. "You must reject this sweeping proposal. Americans deserve both meaningful federal protections and the ability of their states to lead in advancing safety, fairness, and accountability when AI systems cause harm," one letter reads. "No person, no matter their politics, wants to live in a world where AI makes life-or-death decisions without accountability," it added. States' more ambitious AI regulation proposals require private companies to provide transparency and assess the possible risks of discrimination from their AI programs. Beyond those more sweeping rules, many states have regulated parts of AI: barring the use of deepfakes in elections and to create nonconsensual porn, for example, or putting rules in place around the government's own use of AI. What Trump and some Republicans want to do The draft executive order would direct federal agencies to identify burdensome state AI regulations and pressure states not to enact them, including by withholding federal funding or challenging the state laws in court. It would also begin a process to develop a lighter-touch regulatory framework for the whole country that would override state AI laws. Trump argues that the patchwork of regulations across 50 states impedes AI companies' growth and allows China to catch up to the US. in the AI race. The president has also said state regulations are producing "Woke AI." The draft executive order that was leaked could change and should not be taken as final, said a senior Trump administration official who requested anonymity to describe internal White House discussions. The official said the tentative plan is for Trump to sign the order on Friday. Separately, House Republican leadership is already discussing a proposal to temporarily block states from regulating AI, the chamber's majority leader, Steve Scalise, told Punchbowl News this week. It's yet unclear what that proposal would look like, or which AI regulations it would override. TechNet, which advocates for tech companies including Google and Amazon, has previously argued that pausing state regulations would benefit smaller AI companies still getting on their feet and allow time for lawmakers to develop a country-wide regulatory framework that "balances innovation with accountability". Why attempts at federal regulation have failed Some Republicans in Congress have previously tried and failed to ban states from regulating AI. Part of the challenge is that opposition is coming from their party's own ranks. Florida's Republican governor, Ron DeSantis, said a federal law barring state regulation of AI was "Not acceptable" in a post on X this week. DeSantis argued that the move would be a "subsidy to Big Tech" and would stop states from protecting against a list of things, including "predatory applications that target children" and "online censorship of political speech". A federal ban on states regulating AI is also unpopular, said Cody Venzke, senior policy counsel at the ACLU's National Political Advocacy Department. "The American people do not want AI to be discriminatory, to be unsafe, to be hallucinatory," he said. "So I don't think anyone is interested in winning the AI race if it means AI that is not trustworthy".

Trump calls for single federal standard to govern artificial intelligence

President Donald Trump on Tuesday urged Congress to establish a single nationwide standard for regulating artificial intelligence, warning that a patchwork of state rules would stifle growth and imperil the United States' ability to compete with China in the rapidly advancing field. President Donald Trump said on Tuesday the US must have one federal standard for regulating artificial intelligence, saying the technology risked being over-regulated if each American state came up with its own standard. "Overregulation by the States is threatening to undermine this Growth Engine," Trump said on social media. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes," he posted. Read moreEU must avoid becoming tech 'vassal' of US and China, Macron says The president said that in the absence of a single federal AI standard, China will "easily catch us in the AI race." Trump has prioritised winning the AI race against China. Soon after taking office in January for his second term, Trump ordered his administration to produce an AI Action Plan that would make "America the world capital in artificial intelligence" and reduce regulatory barriers to its rapid expansion. The rise of AI has fed a host of concerns including the fear that it could be used to disrupt the democratic process, turbocharge fraud and lead to job losses. In his social media post on Tuesday, the Republican leader urged lawmakers to put the federal standard in a separate bill or include it in the defence policy bill known as the National Defense Authorization Act, or NDAA. "Put it in the NDAA, or pass a separate Bill, and nobody will ever be able to compete with America," Trump said. Trump's post did not provide details on the federal standard that he proposed.

White House floats executive order to override state AI laws

Why it matters: It would mark a sharp escalation in the administration's bid to centralize and accelerate U.S. AI policy. * AI and crypto czar David Sacks is involved in the majority of the agency level work the executive order calls for, according to a summary of the draft executive order also seen by Axios. * The order is in flux and a final version could look different. * This approach would have far less teeth than legislation, and could face legal scrutiny. What's inside: The "Eliminating State Law Obstruction of National AI Policy" executive order calls on government agencies to move aggressively to end a patchwork of state laws in favor of a "minimally burdensome national standard." * The draft executive order tasks the attorney general with establishing an "AI Litigation Task Force" within 30 days to challenge state AI laws "including on grounds that such laws unconstitutionally regulate interstate commerce." * Various agencies would have to evaluate and publish existing state laws that conflict with the executive order, including those that "may compel AI developers or deployers to disclose or report information in a manner that would violate the First Amendment." Federal Communications Commission chair Brendan Carr would "initiate a proceeding to determine whether to adopt a Federal reporting and disclosure standard for AI models that preempts conflicting State laws" within 90 days. * Federal Trade Commission chair Andrew Ferguson would within 90 days have to "issue a policy statement on the application of the FTC Act's prohibition on unfair and deceptive practices ... to AI models." * Sacks and the director of the White House Office of Legislative Affairs are directed to work on a legislative recommendation for a federal regulatory framework for AI that preempts state law. States that aren't in line with the executive order would have grants funds at risk. * The Commerce Secretary would have to issue a policy notice within 90 days outlining the eligibility conditions for states to receive remaining Broadband Equity Access and Deployment funding to expand internet access. * The order also calls on all agencies to assess their grant programs for states and decide whether they've enacted AI laws that are contradictory to the executive order, according to a summary. The other side: "Until officially announced by the [White House], discussion about potential executive orders is speculation," a White House official told Axios. Meanwhile, Hill Republicans are racing to figure out how to slip a state AI law provision into the must-pass annual defense policy bill, their last chance to do so before the year's end. * That will be difficult, and the last attempt to do so in Congress was soundly rejected. Senate Majority Leader John Thune told reporters Wednesday that language being negotiated on the Hill should ensure "states have some role when it comes to how companies operate within the states" but also "recognizes the importance" of enabling interstate commerce. * "Our members are taking a hard look at how best to do that and the president clearly has weighed in on what he would like to see happen and we'll certainly take his views and give them optimum consideration," Thune added. Tension point: The EO is likely to deepen divides among Hill Republicans who want to protect their states' internet grants. * Outside of Congress, Republicans are also deeply divided over the possible AI state law pre-emption. * Florida Gov. Ron DeSantis, Arkansas Gov. Sarah Huckabee Sanders and Steve Bannon-aligned conservative firebrand Mike Davis have all spoken out against it, calling it a Big Tech bailout. The bottom line: The White House can't preempt state level regulation -- that's Congress' job.

Trump is drafting an executive order to stop state-level AI regulation. Here's what to know

President Donald Trump is considering pressuring states to stop regulating artificial intelligence in a draft executive order obtained Thursday by The Associated Press, as some in Congress also consider whether to temporarily block states from regulating AI. Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties -- as well as civil liberties and consumer rights groups -- worry that banning state regulation would amount to a favor for big AI companies that enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing.

What to know about Trump's draft proposal to curtail state AI regulations

President Donald Trump is considering pressuring states to stop regulating artificial intelligence President Donald Trump is considering pressuring states to stop regulating artificial intelligence in a draft executive order obtained Thursday by The Associated Press, as some in Congress also consider whether to temporarily block states from regulating AI. Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties -- as well as civil liberties and consumer rights groups -- worry that banning state regulation would amount to a favor for big AI companies who enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing. Four states -- Colorado, California, Utah and Texas -- have passed laws that set some rules for AI across the private sector, according to the International Association of Privacy Professionals. Those laws include limiting the collection of certain personal information and requiring more transparency from companies. The laws are in response to AI that already pervades everyday life. The technology helps make consequential decisions for Americans, including who gets a job interview, an apartment lease, a home loan and even certain medical care. But research has shown that it can make mistakes in those decisions, including by prioritizing a particular gender or race. "It's not a matter of AI makes mistakes and humans never do," said Calli Schroeder, director of the AI & Human Rights Program at the public interest group EPIC. "With a human, I can say, 'Hey, explain, how did you come to that conclusion, what factors did you consider?'" she continued. "With an AI, I can't ask any of that, and I can't find that out. And frankly, half the time the programmers of the AI couldn't answer that question." States' more ambitious AI regulation proposals require private companies to provide transparency and assess the possible risks of discrimination from their AI programs. Beyond those more sweeping rules, many states have regulated parts of AI: barring the use of deepfakes in elections and to create nonconsensual porn, for example, or putting rules in place around the government's own use of AI. The draft executive order would direct federal agencies to identify burdensome state AI regulations and pressure states to not enact them, including by withholding federal funding or challenging the state laws in court. It would also begin a process to develop a lighter-touch regulatory framework for the whole country that would override state AI laws. Trump's argument is that the patchwork of regulations across 50 states impedes AI companies' growth, and allows China to catch up to the U.S. in the AI race. The president has also said state regulations are producing "Woke AI." The draft executive order that was leaked could change and should not be taken as final, said a senior Trump administration official who requested anonymity to describe internal White House discussions. The official said the tentative plan is for Trump to sign the order Friday. Separately, House Republican leadership is already discussing a proposal to temporarily block states from regulating AI, the chamber's majority leader, Steve Scalise, told Punchbowl News this week. It's yet unclear what that proposal would look like, or which AI regulations it would override. TechNet, which advocates for tech companies including Google and Amazon, has previously argued that pausing state regulations would benefit smaller AI companies still getting on their feet and allow time for lawmakers develop a country-wide regulatory framework that "balances innovation with accountability." Some Republicans in Congress have previously tried and failed to ban states from regulating AI. Part of the challenge is that opposition is coming from their party's own ranks. Florida's Republican governor, Ron DeSantis, said a federal law barring state regulation of AI was "Not acceptable" in a post on X this week. DeSantis argued that the move would be a "subsidy to Big Tech" and would stop states from protecting against a list of things, including "predatory applications that target children" and "online censorship of political speech." A federal ban on states regulating AI is also unpopular, said Cody Venzke, senior policy council at the ACLU's National Political Advocacy Department. "The American people do not want AI to be discriminatory, to be unsafe, to be hallucinatory," he said. "So I don't think anyone is interested in winning the AI race if it means AI that is not trustworthy."

Trump administration drafts an executive order regulating state AI laws

Trump's administration is considering an executive order on artificial intelligence.Roberto Schmidt / Getty Images President Donald Trump's administration has drafted an executive order that would challenge individual states' ability to enact regulations governing artificial intelligence, according to a person familiar with the matter. The draft order would direct Attorney General Pam Bondi to create a task force charged with targeting state AI legislation, arguing that these state measures violate the federal government's sole authority to regulate commerce between states, amongst other grounds for challenging the laws. The White House did not immediately return a request for comment. It is unclear if the draft order, whose existence was first reported by first reported by The Information, will be signed by Trump, or how seriously it is under consideration. On Tuesday, Trump shared his support for congressional action to prevent individual state AI regulation, writing on Truth Social, "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes." As part of the U.S.-Saudi Investment Forum on Wednesday, Trump reiterated his criticism of states' ability to regulate AI.

Trump backs ban on state AI laws

Why it matters: Trump is making his views known as Republicans consider whether to support federal preemption of state laws -- an idea that has failed in Congress before following intense, widespread criticism from both sides of the aisle. * House Majority Leader Steve Scalise is trying to include state AI regulation preemption in a must-pass defense policy bill that's expected to be finalized in the coming weeks. What they're saying: "Investment in AI is helping to make the U.S. Economy the "HOTTEST" in the World -- But overregulation by the States is threatening to undermine this Growth Engine," Trump posted on Truth Social. * "Some States are even trying to embed DEI ideology into AI models, producing "Woke AI" (Remember Black George Washington?). We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes. We can do this in a way that protects children AND prevents censorship!" Catch up quick: Sen. Ted Cruz (R-Texas) has promised to revive his efforts to stop state-level AI regulation, but faces opposition from key Republicans, including Sen. Marsha Blackburn (R-Tenn.), and conservative leaders outside of Congress. * 99 senators, including Cruz himself, ended up voting to strip the AI moratorium from the budget bill this summer. * Blackburn and others like Sen. Josh Hawley (R-Mo.) are adamant about protecting kids online and view AI chatbots as a serious threat that states have been leading on addressing. The bottom line: Expect Republican infighting as regulating AI is a bipartisan priority both outside of Washington and in some pockets of D.C.

What to Know About Trump's Draft Proposal to Curtail State AI Regulations

President Donald Trump is considering pressuring states to stop regulating artificial intelligence in a draft executive order obtained Thursday by The Associated Press, as some in Congress also consider whether to temporarily block states from regulating AI. Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties -- as well as civil liberties and consumer rights groups -- worry that banning state regulation would amount to a favor for big AI companies who enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing. What state-level regulations exist and why Four states -- Colorado, California, Utah and Texas -- have passed laws that set some rules for AI across the private sector, according to the International Association of Privacy Professionals. Those laws include limiting the collection of certain personal information and requiring more transparency from companies. The laws are in response to AI that already pervades everyday life. The technology helps make consequential decisions for Americans, including who gets a job interview, an apartment lease, a home loan and even certain medical care. But research has shown that it can make mistakes in those decisions, including by prioritizing a particular gender or race. "It's not a matter of AI makes mistakes and humans never do," said Calli Schroeder, director of the AI & Human Rights Program at the public interest group EPIC. "With a human, I can say, 'Hey, explain, how did you come to that conclusion, what factors did you consider?'" she continued. "With an AI, I can't ask any of that, and I can't find that out. And frankly, half the time the programmers of the AI couldn't answer that question." States' more ambitious AI regulation proposals require private companies to provide transparency and assess the possible risks of discrimination from their AI programs. Beyond those more sweeping rules, many states have regulated parts of AI: barring the use of deepfakes in elections and to create nonconsensual porn, for example, or putting rules in place around the government's own use of AI. What Trump and some Republicans want to do The draft executive order would direct federal agencies to identify burdensome state AI regulations and pressure states to not enact them, including by withholding federal funding or challenging the state laws in court. It would also begin a process to develop a lighter-touch regulatory framework for the whole country that would override state AI laws. Trump's argument is that the patchwork of regulations across 50 states impedes AI companies' growth, and allows China to catch up to the U.S. in the AI race. The president has also said state regulations are producing "Woke AI." The draft executive order that was leaked could change and should not be taken as final, said a senior Trump administration official who requested anonymity to describe internal White House discussions. The official said the tentative plan is for Trump to sign the order Friday. Separately, House Republican leadership is already discussing a proposal to temporarily block states from regulating AI, the chamber's majority leader, Steve Scalise, told Punchbowl News this week. It's yet unclear what that proposal would look like, or which AI regulations it would override. TechNet, which advocates for tech companies including Google and Amazon, has previously argued that pausing state regulations would benefit smaller AI companies still getting on their feet and allow time for lawmakers develop a country-wide regulatory framework that "balances innovation with accountability." Why attempts at federal regulation have failed Some Republicans in Congress have previously tried and failed to ban states from regulating AI. Part of the challenge is that opposition is coming from their party's own ranks. Florida's Republican governor, Ron DeSantis, said a federal law barring state regulation of AI was "Not acceptable" in a post on X this week. DeSantis argued that the move would be a "subsidy to Big Tech" and would stop states from protecting against a list of things, including "predatory applications that target children" and "online censorship of political speech." A federal ban on states regulating AI is also unpopular, said Cody Venzke, senior policy council at the ACLU's National Political Advocacy Department. "The American people do not want AI to be discriminatory, to be unsafe, to be hallucinatory," he said. "So I don't think anyone is interested in winning the AI race if it means AI that is not trustworthy."

Trump mulling executive order to block state AI laws

President Trump is considering an executive order to block state AI laws as the White House pushes for a federal framework on the technology. The order would direct Attorney General Pam Bondi to establish a task force focused on challenging state AI measures and seeks to restrict some federal funding to states who pass laws that are deemed "onerous," according to a draft obtained by The Hill. It would also direct the Federal Trade Commission to issue a policy statement on how a law prohibiting unfair and deceptive practices would apply to AI models and how it could preempt state AI laws. "We remain in the earliest days of this technological revolution and are still in a race with adversaries for supremacy within it," the draft order reads. "Our national security demands that we win this race." "To win, American AI companies must be free to innovate without cumbersome regulation," it continues. "But State legislatures have introduced over 1,000 AI bills that threaten to undermine that innovative culture." When asked to confirm the accuracy of the draft order, a White House official told The Hill, "Until officially announced by the WH, discussion about potential executive orders is speculation." Trump and fellow Republicans have battled over a federal moratorium on state AI laws since the start of the president's second term. After forging an alliance with top Silicon Valley conservatives during his 2024 campaign, Trump has embraced the tech industry and its calls for loose AI regulation. The president and like-minded Republicans have strongly opposed state proposals meant to address the technological and societal risks of AI, particularly those enacted by California Gov. Gavin Newsom (D). Trump and GOP leaders attempted to include a federal ban on state AI laws in the president's major tax-cut bill. But the provision was removed amid backlash from tech-skeptical conservatives, such as Rep. Marjorie Taylor Greene (R-Ga.), who threatened to tank Trump's signature bill over the policy.

Trump is drafting an executive order to stop state-level AI regulation. Here's what to know

Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties -- as well as civil liberties and consumer rights groups -- worry that banning state regulation would amount to a favor for big AI companies who enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing.

What to know about Trump's draft proposal to curtail state AI regulations - The Economic Times

Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. President Donald Trump is considering pressuring states to stop regulating artificial intelligence in a draft executive order obtained Thursday by The Associated Press, as some in Congress also consider whether to temporarily block states from regulating AI. Trump and some Republicans argue that the limited regulations already enacted by states, and others that might follow, will dampen innovation and growth for the technology. Critics from both political parties - as well as civil liberties and consumer rights groups - worry that banning state regulation would amount to a favor for big AI companies who enjoy little to no oversight. While the draft executive order could change, here's what to know about states' AI regulations and what Trump is proposing.What state-level regulations exist and why Four states - Colorado, California, Utah and Texas - have passed laws that set some rules for AI across the private sector, according to the International Association of Privacy Professionals. Those laws include limiting the collection of certain personal information and requiring more transparency from companies. The laws are in response to AI that already pervades everyday life. The technology helps make consequential decisions for Americans, including who gets a job interview, an apartment lease, a home loan and even certain medical care. But research has shown that it can make mistakes in those decisions, including by prioritizing a particular gender or race. "It's not a matter of AI makes mistakes and humans never do," said Calli Schroeder, director of the AI & Human Rights Program at the public interest group EPIC. "With a human, I can say, 'Hey, explain, how did you come to that conclusion, what factors did you consider?'" she continued. "With an AI, I can't ask any of that, and I can't find that out. And frankly, half the time the programmers of the AI couldn't answer that question." States' more ambitious AI regulation proposals require private companies to provide transparency and assess the possible risks of discrimination from their AI programs. Beyond those more sweeping rules, many states have regulated parts of AI: barring the use of deepfakes in elections and to create nonconsensual porn, for example, or putting rules in place around the government's own use of AI.What Trump and some Republicans want to do The draft executive order would direct federal agencies to identify burdensome state AI regulations and pressure states to not enact them, including by withholding federal funding or challenging the state laws in court. It would also begin a process to develop a lighter-touch regulatory framework for the whole country that would override state AI laws. Trump's argument is that the patchwork of regulations across 50 states impedes AI companies' growth, and allows China to catch up to the US in the AI race. The president has also said state regulations are producing "Woke AI." The draft executive order that was leaked could change and should not be taken as final, said a senior Trump administration official who requested anonymity to describe internal White House discussions. The official said the tentative plan is for Trump to sign the order Friday. Separately, House Republican leadership is already discussing a proposal to temporarily block states from regulating AI, the chamber's majority leader, Steve Scalise, told Punchbowl News this week. It's yet unclear what that proposal would look like, or which AI regulations it would override. TechNet, which advocates for tech companies including Google and Amazon, has previously argued that pausing state regulations would benefit smaller AI companies still getting on their feet and allow time for lawmakers develop a country-wide regulatory framework that "balances innovation with accountability."Why attempts at federal regulation have failed Some Republicans in Congress have previously tried and failed to ban states from regulating AI. Part of the challenge is that opposition is coming from their party's own ranks. Florida's Republican governor, Ron DeSantis, said a federal law barring state regulation of AI was "Not acceptable" in a post on X this week. DeSantis argued that the move would be a "subsidy to Big Tech" and would stop states from protecting against a list of things, including "predatory applications that target children" and "online censorship of political speech." A federal ban on states regulating AI is also unpopular, said Cody Venzke, senior policy council at the ACLU's National Political Advocacy Department. "The American people do not want AI to be discriminatory, to be unsafe, to be hallucinatory," he said. "So I don't think anyone is interested in winning the AI race if it means AI that is not trustworthy."

Trump Considering Executive Order to Preempt State AI Laws

By Jody Godoy and Karen Freifeld (Reuters) -U.S. President Donald Trump is considering an executive order that would seek to preempt state laws on artificial intelligence through lawsuits and by withholding federal funding, according to a draft of the order seen by Reuters. The order would task Attorney General Pam Bondi with establishing an "AI Litigation Task Force whose sole responsibility shall be to challenge state AI laws, including on grounds that such laws unconstitutionally regulate interstate commerce, are preempted by existing federal regulations, or are otherwise unlawful," according to the document. It would also direct the Department of Commerce to review state laws and issue guidelines that would withhold broadband funding in some cases. (Reporting by Jody Godoy in New York; Editing by Chris Reese)

Trump Order Could Undercut Florida's Push To Regulate AI

Enter your email to get Benzinga's ultimate morning update: The PreMarket Activity Newsletter The White House plans to issue an executive order as soon as Friday that would restrict states from enacting their own artificial intelligence rules. In this week's move, federal policymakers aim to assert national control over AI governance, pre-empting state-level regulation efforts. Gov. Ron DeSantis (R-Fla.) has been among the most vocal advocates for state oversight, calling AI the biggest issue that's facing society, Politico reports. Also Read: Trump Administration Sues California Over Tuition, Scholarships For Illegal Immigrants Conflict With Florida DeSantis recently rejected the idea of Congress barring states from regulating AI as "not acceptable." However, the possible presidential order would limit Florida and other states before they even roll out policy proposals, the report adds. Federal Vs. State Control The tech industry and some Republicans favor a centralized approach, saying 50 different state laws would hinder innovation. But DeSantis counters that stripping states of authority would "prevent states from protecting against online censorship of political speech, predatory applications that target children, violations of intellectual property rights and data center intrusions on power/water resources," POLITICO quotes. Florida House leaders have scheduled an AI week in December to explore policy impacts on education and health care. House Speaker Daniel Perez warned that early legislative decisions can carry "serious long-term consequences." What's Next DeSantis has not publicly addressed the draft order directly but said that critics of the proposal raise "good questions." At a Florida Rural Economic Development Summit, he reiterated concerns that AI could replace workers and trigger widespread disruption. Read Next: Trump Softens Tone After 'Very Productive' Meeting With NYC Mayor-Elect Zohran Mamdani On Affordability Crisis Market News and Data brought to you by Benzinga APIs

Trump considering executive order to preempt state AI laws

President Trump is considering an executive order to preempt state AI laws through federal lawsuits and by withholding funding. The draft order would task the Attorney General with challenging state regulations and the Commerce Department with reviewing them. This move aims to help AI companies overcome a patchwork of state laws. U.S. President Donald Trump is considering an executive order that would seek to preempt state laws on artificial intelligence through lawsuits and by withholding federal funding, according to a draft of the order seen by Reuters on Wednesday. The move, which is likely to face pushback from states, shows how far Trump is willing to go to help AI companies overcome a patchwork of laws they say stifle innovation. A White House official told Reuters that until officially announced, discussion of potential executive orders was speculation. The order would task Attorney General Pam Bondi with establishing an "AI Litigation Task Force whose sole responsibility shall be to challenge state AI laws, including on grounds that such laws unconstitutionally regulate interstate commerce, are preempted by existing federal regulations, or are otherwise unlawful," according to the document. It would also direct the Department of Commerce to review state laws and issue guidelines that would withhold broadband funding in some cases. The Senate voted 99-1 against an effort to block AI laws earlier this year. An initial version of that measure would have blocked states that regulate AI from the $42 billion Broadband Equity, Access and Deployment program, known as BEAD. State lawmakers and attorneys general from both major political parties rallied against the measure at the time, calling it harmful to their ability to protect state residents from fraud, deepfakes and child abuse imagery. The issue took on new life after Trump on Tuesday threw his weight behind a proposal by Republicans in Congress to add a similar provision to the National Defense Authorization Act (NDAA). Some members of Congress, including Senator Adam Schiff, a Democrat from California, and Josh Hawley, a Republican from Missouri, this week opposed adding the measure to the NDAA. Trump's draft executive order would task White House legislative director James Braid and AI czar David Sacks with recommending federal legislation to preempt state AI laws and federal agencies with finding ways to block them. The draft executive order criticises California's recently enacted AI disclosure law, calling it "complex and burdensome." It said a Colorado law aimed at preventing algorithmic discrimination "may even force AI models to embed DEI in their programming," referring to diversity, equity and inclusion. (You can now subscribe to our Economic Times WhatsApp channel)

White House Weighs Challenge to State-Level AI Rules | PYMNTS.com

By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions. One of those challenges could come in the form of an executive order calling for an attorney general-led task force to challenge AI laws deemed too burdensome, the Wall Street Journal (WSJ) reported Wednesday (Nov. 19). The order would also call for federal funding to be withheld from those states via a federal interest access program, the report added, citing a draft of the order seen by the WSJ, as well as sources familiar with the discussion. In a post on his Truth Social platform earlier in the week, President Donald Trump had called for a single federal standard "instead of a patchwork" of state rules. As the WSJ notes, Trump had made AI a key part of his economic and foreign-policy strategy. State regulations in places like New York and California have led the administration to demand action on the federal level. On the other side of the aisle, the report added, lawmakers argue that a ban on state-level AI regulations would only work if Congress had made progress on a federal AI bill. Sen. Brian Schatz (D-HI) earlier in the week referred to the preemption policy as a "poison pill" and said his party would block it. Elsewhere, figures in the tech world have launched their own campaign to prevent state-level AI regulations. For example, Meta in September created a non-federal super PAC called the American Technology Excellence Project that will push to elect AI and tech-friendly state lawmakers, while working against those it sees as insufficiently supportive of the sector. The effort by the White House comes a little less than a month after California passed a series of AI and social-media bills creating the nation's most extensive state-level safeguards for minors and mandating that AI developers disclose their training data. These bills, signed by Gov. Gavin Newsome, address child online safety and AI accountability, while introducing new standards for chatbot oversight, age verification and content liability. "The laws mark the most comprehensive attempt yet by a U.S. state to regulate how generative AI and social platforms interact with users," PYMNTS wrote last month. Not every state-level AI regulation has gone smoothly. Colorado in 2024 passed the country's first AI Act, designed to limit the use of AI in "consequential decisions," such as hiring, loans, education, healthcare and housing. However, the state said in September that it would hold off on implementing the law until June of 2026, giving businesses in Colorado more time to prepare.

Trump Warns Against AI 'Overregulation,' Says US Needs to Have One Federal Standard

WASHINGTON (Reuters) -President Donald Trump said on Tuesday the U.S. must have one federal standard for regulating artificial intelligence, saying the technology risked being over-regulated if each American state came up with its own standard. "Overregulation by the States is threatening to undermine this Growth Engine," Trump said on social media. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes," he posted. The president said that in the absence of a single federal AI standard, China will "easily catch us in the AI race." Trump has prioritized winning the AI race against China. Soon after taking office in January for his second term, Trump ordered his administration to produce an AI Action Plan that would make "America the world capital in artificial intelligence" and reduce regulatory barriers to its rapid expansion. The rise of AI has fed a host of concerns including the fear that it could be used to disrupt the democratic process, turbocharge fraud and lead to job losses. In his social media post on Tuesday, the Republican leader urged lawmakers to put the federal standard in a separate bill or include it in the defense policy bill known as the National Defense Authorization Act, or NDAA. "Put it in the NDAA, or pass a separate Bill, and nobody will ever be able to compete with America," Trump said. Trump's post did not provide details on the federal standard that he proposed. (Reporting by Kanishka Singh in Washington; Editing by Leslie Adler and Lincoln Feast.)

Trump Eyes Sweeping AI Order To Override State Laws After Warning China Could 'Catch Us' In Global Tech Race: Report - NVIDIA (NASDAQ:NVDA)

President Donald Trump is reportedly considering an executive order that would give Washington broad authority over artificial intelligence regulations, escalating his push to strip states of control just one day after warning that China could overtake the U.S. in the AI race. Draft Order Would Let Federal Government Override State AI Laws According to a draft obtained by The Verge, the order would create an AI Litigation Task Force inside the Justice Department with one mission: challenge state AI laws that federal officials believe hinder industry growth. The document cites the latest measures in California focused on AI safety and catastrophic risk, as well as Colorado's law targeting algorithmic discrimination. White House did not immediately respond to Benzinga's request for comments. See Also: Jensen Huang Says Being A CEO Is About 'Sacrifice': Nvidia Chief Credits His Mother For Preparing Him For The Road Ahead: She Told Me I Was 'Special' Federal Agencies Would Be Directed To Pressure States The draft outlines a 90-day timeline for agencies to carry out Trump's AI Action Plan. The Commerce Department would be tasked with identifying states out of compliance and determining which could lose access to rural broadband funds. Trump Says China Could 'Catch Us' If We Don't Do This On Tuesday, Trump took to Truth Social and cautioned that China could "easily catch us" in the global AI race if the U.S. fails to adopt a single, nationwide framework for regulating artificial intelligence. His statement came after investor Kevin O'Leary warned that China is "crushing" the U.S. on power capacity, saying America's electrical grid is already maxed out while China can bring new coal plants online with little resistance. Nvidia Corp. (NASDAQ:NVDA) CEO Jensen Huang has echoed those concerns, pointing to China's lower energy costs and rapid permitting as long-term competitive advantages. Nvidia ranks in the 98th percentile for Growth and 92nd percentile for Quality in Benzinga's Edge Stock Rankings, underscoring its exceptional performance compared with industry competitors. Read Next: David Tepper's Hedge Funds Bets On AMD, Nvidia In Q3, Takes Profits On Intel Photo Courtesy: Joshua Sukoff on Shutterstock.com Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. NVDANVIDIA Corp$196.005.08%OverviewMarket News and Data brought to you by Benzinga APIs

Trump warns against AI 'overregulation,' says US needs to have one federal standard

President Donald Trump said on Tuesday the U.S. must have one federal standard for regulating artificial intelligence, saying the technology risked being over-regulated if each American state came up with its own standard. "Overregulation by the States is threatening to undermine this Growth Engine," Trump said on social media. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes," he posted. The president said that in the absence of a single federal AI standard, China will "easily catch us in the AI race." Trump has prioritized winning the AI race against China. Soon after taking office in January for his second term, Trump ordered his administration to produce an AI Action Plan that would make "America the world capital in artificial intelligence" and reduce regulatory barriers to its rapid expansion. The rise of AI has fed a host of concerns including the fear that it could be used to disrupt the democratic process, turbocharge fraud and lead to job losses. In his social media post on Tuesday, the Republican leader urged lawmakers to put the federal standard in a separate bill or include it in the defense policy bill known as the National Defense Authorization Act, or NDAA. "Put it in the NDAA, or pass a separate Bill, and nobody will ever be able to compete with America," Trump said. Trump's post did not provide details on the federal standard that he proposed.

Trump calls for federal regulation of AI, warns of Chinese competition By Investing.com

Investing.com-- U.S. President Donald Trump on Tuesday called for a single federal framework to regulate artificial intelligence, warning that differing state-level rules could impede investment and allow China to gain an edge. In a post on his Truth Social platform, Trump said AI investment was helping make the U.S. economy the "hottest" in the world, but argued that state regulations risked weakening the sector. He criticised efforts by some states to embed diversity and inclusion standards into AI systems, claiming they would produce what he called "woke AI." "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes. If we don't, then China will easily catch us in the AI race," Trump wrote. Trump urged lawmakers to include national AI regulations in the annual defence policy bill or pass a separate measure, saying a unified approach would strengthen U.S. competitiveness and ensure "nobody will ever be able to compete with America."

Trump calls for single federal standard for AI regulation By Investing.com

Investing.com -- President Donald Trump stated on Tuesday that the United States needs to establish a single federal standard for regulating artificial intelligence, warning against the risks of overregulation at the state level. Trump expressed concern that allowing each state to develop its own regulatory framework for AI would hinder technological advancement. "Overregulation by the States is threatening to undermine this Growth Engine," Trump wrote in a social media post. In his message, the President emphasized the need for unified federal oversight, stating: "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes." This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Washington seeks to impose a single federal framework for AI amid state legislations

The White House is preparing an executive order to centralize AI regulation at the federal level, according to a document obtained by CNBC. The text, supported by President Donald Trump, would push back against laws passed by certain states by launching lawsuits and tying access to federal funding. The goal is to avoid what the administration calls a "regulatory patchwork" that is harmful to the sector's development. The project notably contemplates creating an "AI Litigation Task Force" led by Attorney General Pam Bondi and a potential exclusion of affected states from the BEAD program, a $42bn initiative for high-speed Internet access. The tech sector, particularly in California, sees this federal approach as protection against local constraints. Companies such as OpenAI or Andreessen Horowitz advocate for unified regulation, more favorable to innovation. Conversely, several lawmakers, including Democrat Alex Bores, denounce alignment of the White House with the interests of large corporations. The project could also include a legislative moratorium preventing states from regulating certain aspects of AI development, with no fixed duration, while leaving them jurisdiction over fraud, consumer protection, or IA-generated illicit content.

Trump warns against AI 'overregulation,' says US needs to have one federal standard

WASHINGTON (Reuters) -President Donald Trump said on Tuesday the U.S. must have one federal standard for regulating artificial intelligence, saying the technology risked being over-regulated if each American state came up with its own standard. "Overregulation by the States is threatening to undermine this Growth Engine," Trump said on social media. "We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes," he posted. The president said that in the absence of a single federal AI standard, China will "easily catch us in the AI race." Trump has prioritized winning the AI race against China. Soon after taking office in January for his second term, Trump ordered his administration to produce an AI Action Plan that would make "America the world capital in artificial intelligence" and reduce regulatory barriers to its rapid expansion. The rise of AI has fed a host of concerns including the fear that it could be used to disrupt the democratic process, turbocharge fraud and lead to job losses. In his social media post on Tuesday, the Republican leader urged lawmakers to put the federal standard in a separate bill or include it in the defense policy bill known as the National Defense Authorization Act, or NDAA. "Put it in the NDAA, or pass a separate Bill, and nobody will ever be able to compete with America," Trump said. Trump's post did not provide details on the federal standard that he proposed. (Reporting by Kanishka Singh in Washington; Editing by Leslie Adler and Lincoln Feast.)