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This move contrasts with calls from members of Congress who have advocated for greater oversight of the powerful technology
Jonathan J. CooperFriday 12 December 2025 02:08 GMT
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President Donald Trump signed an executive order on Thursday to block states from creating their own artificial intelligence regulations, arguing that a patchwork of rules risks stifling the burgeoning industry in its global competition with China.
This move, however, contrasts with calls from both Republican and Democratic members of Congress, as well as civil liberties and consumer rights groups, who have advocated for greater oversight of the powerful technology, contending current regulations are insufficient.
Speaking in the Oval Office, Trump asserted that “there's only going to be one winner” in the international race to dominate artificial intelligence, highlighting China's centralized government approval process as a significant advantage for its companies.
“We have the big investment coming, but if they had to get 50 different approvals from 50 different states, you can forget it because it’s impossible to do,” Trump stated.
The executive order directs the Attorney General to create a new task force to challenge state laws, and directs the Commerce Department to draw up a list of problematic regulations. (AP Photo/Alex Brandon)The executive order directs the Attorney General to create a new task force to challenge state laws, and directs the Commerce Department to draw up a list of problematic regulations.
It also threatens to restrict funding from a broadband deployment program and other grant programs to states with AI laws.
David Sacks, a venture capitalist with extensive AI investments who is leading Trump's policies on cryptocurrency and artificial intelligence, said the Trump administration would only push back on “the most onerous examples of state regulation” but would not oppose “kid safety” measures.
What states have proposed
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.
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.