Trump says he'll sign an executive order restricting states' ability to regulate AI

In a bold move to consolidate artificial intelligence regulation, President Donald Trump announced plans to sign an executive order that would limit the power of states in overseeing AI technologies. This declaration, made on Monday, emphasizes Trump's belief that a singular regulatory framework is essential to prevent the stifling of innovation in the AI sector. Trump expressed concerns that diverse regulations across all 50 states could hinder the growth of AI, stating, "We are beating ALL COUNTRIES at this point in the race, but that won't last long if we are going to have 50 States, many of them bad actors, involved in RULES and the APPROVAL PROCESS." He further argued that requiring companies to navigate multiple approvals would be unfeasible. While the specifics of the forthcoming executive order remain unclear, a draft reviewed by Business Insider indicated that it could empower the Department of Justice to challenge states with what it deems overly strict AI regulations. This potential action is likely to spark significant debate, especially among Republicans who traditionally advocate for states' rights. The tensions surrounding state regulation emerged last summer when Republican lawmakers attempted to impose a 10-year freeze on state-level AI laws through a legislative proposal known as the "Big Beautiful Bill." However, this provision was ultimately removed from the bill during a Senate vote that ended with an overwhelming majority in favor of stripping it out. In parallel efforts, the Trump administration has been exploring alternative strategies to curb state regulations. A recent "AI Action Plan" released by the White House suggests that federal funding could be withheld from states that implement what it views as burdensome AI laws. The landscape for AI regulation in the U.S. is set for a dramatic shift as discussions continue to unfold.