Donald Trump Signs Executive Order To Sideline State AI Laws
Donald Trump signed an executive order on Thursday aimed at sidelining state artificial intelligence laws, as tech giants have warned that a patchwork of regulations will slow the development of the emerging industry.
Trump’s executive order had long been anticipated, after Congress rejected a proposal to preempt state AI laws as part of the president’s One Big Beautiful Bill Act.
Trump and his advisers cited the competition from China and building out AI as a reason to remove regulatory impediments.
We have to be unified,” Trump said, noting that China “is unified because they have one vote, that is President Xi.”
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The executive order calls on Attorney General Pam Bondi to establish an AI Litigation Task Force to challenge state laws, including on grounds that they unconstitutionally regulate interstate commerce or are preempted by existing federal regulations.
The order also includes the creation of a federal policy framework for AI to preempt state laws.
The executive order also includes a provision to evaluate state AI laws, specifically targeting “laws 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 or any other provision of the Constitution.” It also directs the chairman of the FCC, Brendan Carr, to “adopt a Federal reporting and disclosure standard for AI models that preempts conflicting State laws.”
Some state laws will not be targeted, including those aimed at child safety and data center infrastructure.
“We are going to push back on the most onerous examples of state regulations,” said David Sacks, Trump’s adviser of AI and crypto.
But amid inaction at the federal level, states have passed their own regulations. In Tennessee, the ELVIS Act, protects performers from the unauthorized use of their name and voice in AI-generated works. A federal version of the law, the No Fakes Act, was introduced earlier this year, but it has yet to move forward in either chamber.
California lawmakers passed a host of AI laws this year. One that requires that chatbot companions disclose interactions that are AI generated, and to require that platforms establish protocols to address users who express thoughts of suicide or self harm.
Sen. Ted Cruz (R-TX) was in the Oval Office as Trump signed the executive order. Cruz pushed for a 10-year moratorium on state AI legislation as the One Big Beautiful Bill Act was nearing Senate passage, but it was soundly rejected by members of both parties. Trump latest executive order is likely to be challenged in court.
With heavy lobbying, and flattery, of AI corporate leaders, Trump has pursued a hands-off approach to AI regulation, and he has been cool to the idea that content creators should be compensated for the use of their copyrighted works in training models. That issue has been a flashpoint between big tech and Hollywood, with The Walt Disney Co. firing off a cease-and-desist letter to Google on Wednesday over the use of its copyrighted characters in the tech giants AI services.
