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Trump’s Executive Order to Block State AI Regulations

▼ Summary

President Trump is preparing an executive order to establish federal control over AI regulation, including creating an AI Litigation Task Force to challenge state AI laws.
– The AI Litigation Task Force would sue states with AI regulations deemed obstructive, such as California’s safety laws and Colorado’s anti-discrimination measures.
– The executive order includes a 90-day plan for agencies like the FTC and FCC to implement policies that bypass state regulations to promote AI industry growth.
– The order may withhold rural broadband funding through the BEAD program from states violating federal AI directives, using it as leverage to change state regulations.
– This executive order serves as a backup plan if Congress fails to pass a state AI moratorium, with previous attempts facing bipartisan opposition and legal challenges.

The Trump administration is reportedly preparing an executive order that would centralize authority over artificial intelligence regulation at the federal level, potentially creating significant conflicts with state-level AI laws currently in development. This move would establish federal supremacy in AI governance while challenging existing state regulations designed to address algorithmic bias and safety concerns.

A draft version of the order obtained by media outlets reveals plans for an “AI Litigation Task Force” operating under the Attorney General’s supervision. This specialized legal unit would focus exclusively on challenging state AI regulations that the administration views as impediments to industry growth. Specific targets mentioned in the document include California’s AI safety protocols and Colorado’s measures against algorithmic discrimination.

President Trump has publicly advocated for a nationwide pause on state AI legislation, framing the issue as a battle against what he terms “woke ideology.” During recent public appearances, he argued that navigating different regulatory requirements across fifty states creates unnecessary complexity for businesses. “You can’t go through 50 states,” he stated. “You have to get one approval. Fifty is a disaster.”

This executive action builds upon earlier administration initiatives outlined in the AI Action Plan, which instructed multiple federal agencies to identify methods for bypassing state and local regulations considered burdensome to technological advancement. The complete order establishes a ninety-day implementation timeline for several key departments, including Justice, Commerce, the Federal Trade Commission, and the Federal Communications Commission.

Under the proposed framework, the Commerce Secretary would be required to publish a comprehensive report within three months of the order’s signing. This document would identify states violating federal AI policy directives and potentially determine eligibility for the Broadband Equity Access and Deployment program, which provides crucial funding for rural internet infrastructure. Simultaneously, the FTC would examine whether state mandates for algorithmic modifications constitute unfair business practices.

FCC Commissioner Brendan Carr has previously suggested interpretations of existing communications law that could empower federal agencies to override state regulations. He indicated that when local laws effectively block deployment of modern infrastructure, the FCC possesses authority to intervene. Carr specifically referenced potential conflicts with California’s proposed AI transparency requirements, aligning such interventions with the administration’s objective of preventing what he characterized as “woke AI” systems.

The concept of federal preemption over state AI regulations will likely face legal challenges, though the litigation task force could still create substantial obstacles for states pursuing independent regulatory paths. According to Washington insiders, this executive order represents the administration’s contingency plan should legislative efforts to establish a nationwide AI moratorium fail in Congress.

Earlier attempts to incorporate AI regulation pauses into major spending bills encountered bipartisan resistance in the Senate. House leadership is now considering attaching similar provisions to the must-pass National Defense Authorization Act. However, this strategy risks renewed opposition, particularly given the proposed enforcement mechanism of withholding broadband funding from noncompliant states.

The effectiveness of using financial incentives to compel regulatory compliance remains uncertain, especially for larger states with significant resources. As one policy analyst noted, the administration may need to employ multiple budgetary measures to exert meaningful pressure on states determined to maintain their AI governance frameworks. The coming months will likely see intensified debate between federal and state authorities over the proper balance between innovation promotion and public protection in artificial intelligence policy.

(Source: The Verge)

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