President Donald Trump signed an executive order on Thursday that pressures states not to regulate artificial intelligence.
Trump and some Republicans say the limited regulations states have already enacted, and more that could follow, will stifle innovation and growth in the technology.
Critics from both parties — as well as civil liberties and consumer rights groups — worry that a ban on state regulation would amount to a benefit to big AI companies that have little or no oversight, and that Trump’s efforts are overstepping the bounds of presidential power.
Here’s what you should know about state AI regulations and what Trump signed.
What state level regulations exist and why
Four states — Colorado, California, Utah and Texas — have passed laws that set some rules for AI in the private sector, according to the International Association of Privacy Professionals.
These laws include restrictions on the collection of certain personal data and require companies to be more transparent.
Laws are responding to AI already permeating everyday life. The technology helps Americans make subsequent decisions, including who gets a job interview, a home loan and even certain medical care. However, research has shown that he can make mistakes in these decisions, including favoring a particular gender or race.
“With a person, I can say, ‘Hey, explain how you came to that conclusion, what factors did you consider?'” said Calli Schroeder, director of the AI & Human Rights Program at the public interest group EPIC. “With AI, I can’t ask any of that and I can’t find out. And frankly, half the time the AI programmers couldn’t answer that question.”
More ambitious proposals for state AI regulation require private companies to ensure transparency and assess potential risks of discrimination from their AI programs.
In addition to these more far-reaching rules, many states regulate parts of artificial intelligence: for example, prohibiting the use of fraudulent election fraud and the creation of non-consensual porn, or establishing rules regarding government use of artificial intelligence.
What the executive order is trying to do
The executive order directs federal agencies to identify burdensome state AI regulations and pressure states not to enact them by withholding federal funding, for example for broadband, or challenging state laws in court.
It would also begin the process of developing a lighter regulatory framework for the entire country that would supersede state AI laws.
It does not seek to preempt certain laws that states have passed, such as AI-related child protections and provisions on how state governments can acquire and use AI.
Trump says a patchwork of regulations in 50 states is hindering the growth of AI companies and allowing China to catch up with the US in the AI race. The president also said that state regulations are producing “Woke AI.”
What are the concerns about the order?
Groups that advocate for consumer rights and technology regulation are sounding the alarm over Trump’s executive order, saying it allows Big Tech to “operate in a vacuum of accountability,” according to the nonprofit Issue One.
“After spending millions of dollars lobbying — including massive donations for the new White House ballroom — Big Tech successfully leveraged the people around the president to pass a federal moratorium aimed at wiping out bipartisan AI protections passed in both blue and red states,” said Liana Keesing, technology reform policy leader at Issue One. AI-driven fraud and discriminatory pricing are just some of the harms state laws seek to prevent, she added.
Children’s groups have also expressed deep concerns about generations growing up in a world saturated with artificial intelligence.
“Generations of parents have watched their children become collateral damage as a result of our failure to regulate social media, and now this moratorium threatens to repeat the AI tragedy,” said Shelby Knox, director of online safety campaigns at ParentsTogether Action.
What could be next for the writ of execution
There is a good chance it will end up as part of a court battle.
Last month, while the order was in draft form, Colorado Attorney General Phil Weiser sent a letter to congressional leaders warning that the state would sue if the order was signed.
And on Thursday, California state Sen. Scott Wiener, who wrote the AI safety law signed into law in that state this year, said in a statement: “If the Trump administration tries to enforce this ridiculous order, we will see them in court.”
In Connecticut, Democratic Senate President Pro Tempore Martin Looney said Friday that the state plans to continue broad regulation even after the ordinance.
In May, the attorneys general of 40 states and territories — Republicans and Democrats — signed a letter to congressional officials urging them not to enact provisions blocking state regulation of artificial intelligence for 10 years.
Shatorah Roberson, senior policy counsel at the Lawyers Committee for Civil Rights Under Law, says this case makes it clear the president does not have the power to preempt state laws.
“This is a matter of our democracy, and the president can’t just preempt state laws by executive order without going through the democratic process,” she said.
Key things
- State-level AI regulations aim to protect consumers and ensure transparency in AI decision-making.
- Trump’s executive order seeks to unify AI regulations under federal oversight, raising concerns about Big Tech’s liability and influence.
- Legal challenges are likely as several states plan to challenge the executive order, citing democratic processes.
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