Trump cancels AI executive order signing after tech CEOs skip event and industry pushback

Reviewed byNidhi Govil

29 Sources

Share

President Trump abruptly canceled an AI executive order just hours before signing, initially due to tech CEOs not attending the event. The order would have allowed voluntary government testing of frontier AI models up to 90 days before release. Industry pressure from Elon Musk, Mark Zuckerberg, and former AI advisor David Sacks reportedly influenced the decision, with concerns that even voluntary AI safeguards could slow innovation and hurt US leadership in AI against China.

Trump AI Executive Order Canceled Hours Before Signing

President Donald Trump abruptly canceled a signing event on Thursday, just hours before he was scheduled to sign an AI executive order that would grant the government power to test frontier AI models before public release

1

. The sudden reversal came after Trump learned that some tech CEOs couldn't attend the event on 24 hours' notice, leaving other executives who had quickly rearranged their schedules midair on their way to the Oval Office when they discovered the trip was for nothing

1

. Trump publicly stated he "didn't like certain aspects of it" and expressed concern that the order "could have been a blocker" to US leadership in AI

2

4

.

Source: Market Screener

Source: Market Screener

Industry Pressure From Elon Musk and Mark Zuckerberg

Beyond the CEO attendance issue, the delay reportedly came after significant pressure from AI industry leaders. Elon Musk and Mark Zuckerberg helped "derail" the AI executive order, urging Trump to call it off, according to reports

1

3

. Former AI advisor David Sacks, whose special government employee designation expired in March, also joined the push to delay the signing

1

. Sacks reportedly brought industry concerns directly to Trump on Wednesday night, arguing that AI companies are already cooperating with the government and that any federal review process could slow innovation and give China an edge

5

. Musk denied involvement on X, writing "this is false" and claiming he doesn't "know what was in that EO"

1

.

Source: Fortune

Source: Fortune

Voluntary Framework for AI Safety Testing Proposed

The leaked draft of the AI oversight executive order revealed a framework that would have allowed AI companies to voluntarily give the federal government access to frontier AI models up to 90 days before their wider release to "strengthen the cybersecurity of critical infrastructure"

5

. The draft emphasized that "nothing in this section shall be construed to authorize the creation of a mandatory governmental licensing, preclearance, or permitting requirement for the development, publication, release, or distribution of new AI models"

5

. One key tension between the Trump administration and the tech industry centered on the timeline for government to assess AI models—the government sought evaluation up to 90 days prior to release, while AI labs pushed for only 14 days

1

2

.

AI Security Risks Drive Push for Government Oversight

Members of Trump's administration began recommending AI safety testing after Anthropic flagged cybersecurity risks with its latest model, Mythos

1

3

. The anticipated AI executive order would have tasked the Office of the National Cyber Director and other agencies with developing a process to evaluate AI models for security before their release, partly in response to concerns from Mythos and OpenAI's GPT-5.5 Cyber—both of which can quickly find and exploit security vulnerabilities

2

. The goal was for the government to identify any security vulnerabilities revealed by AI models and patch problems in its systems to help protect banks, utilities, and other sensitive industries from cyberattacks

1

.

Tensions Within White House Over AI Regulation Approach

Trump has maintained a hands-off approach to AI regulation since retaking office, previously stating "we have to grow that baby [AI] and let that baby thrive. We can't stop it with politics... [and] foolish rules and even stupid rules"

3

. However, discord exists not just between political parties but among Trump's team, with tensions reportedly starting after the abrupt end of Sacks' tenure as AI advisor, creating a "power vacuum" within the White House's AI leadership structure

1

. While Trump faces pressure from the Commerce Department and the Office of Science and Technology Policy to maintain a light-touch approach to AI regulation, more security-focused agencies like the Office of the National Cyber Director believe the time for AI governance is now

1

.

China Accelerates AI Governance While US Hesitates

While the US has been hesitant to regulate AI, China's regulatory process is accelerating significantly in recent months

1

. In April, Beijing issued a new regulation requiring domestic AI firms to establish internal "artificial intelligence ethics review committees," and in May, the State Council outlined a legislative work plan for 2026 to improve AI governance and accelerate comprehensive legislation for the sound development of AI

1

. Lizzi C. Lee, a fellow at the Asia Society Policy Institute's Center for China Analysis, told the South China Morning Post that Trump appears to be navigating the same AI safety dilemma as China: how to guard against national security risks without stifling innovation

1

. Lee suggested that parallel to the AI race is "a separate, potentially more important race" to figure out who can govern powerful AI without choking off innovation, with China potentially edging ahead of the US in that race

1

. It remains unclear whether Trump plans to reschedule the event or what changes might be required to ensure he signs AI safeguards that balance both US leadership in AI and protection of critical infrastructure from emerging AI security risks.

Source: Benzinga

Source: Benzinga

Today's Top Stories

© 2026 TheOutpost.AI All rights reserved