Trump’s executive order aims to curb state AI regulations
President Trump signed an executive order on December 11, 2025, to establish a single federal framework for AI regulation, overriding state-level rules. This move prioritizes U.S. leadership in AI innovation by curbing what the administration views as burdensome state laws. Tech companies lobbied heavily for this change to avoid navigating 50 different regulatory environments.
The order empowers the Attorney General to create an AI Litigation Task Force to challenge state regulations conflicting with federal policy. It also directs the Commerce Secretary to withhold Broadband Equity, Access, and Deployment (BEAD) program funds—worth $42.5 billion—from non-compliant states. Child safety regulations remain exempt from these challenges.
Trump announced the order earlier on social media, criticizing fragmented state rules as a threat to AI growth against competitors like China. California Governor Gavin Newsom issued a strong rebuke, highlighting tensions with Democratic-led states. Legal experts note potential 10th Amendment conflicts, as it limits state powers.
This preempts laws in states like California and New York focused on AI safety and consumer protection. Supporters, including advisors like David Sacks, argue it fosters innovation; critics fear reduced oversight. Congress may still need to act for a permanent national standard.
