President Donald Trump announced on Monday that he plans to sign an executive order this week aimed at blocking states from enacting their own artificial intelligence regulations, a move he frames as necessary to maintain U.S. leadership in AI technology. In social media posts, Trump emphasized a “ONE RULE” approach, warning that requiring companies to obtain approval from multiple states would “destroy AI in its infancy” and hinder American competitiveness. His comments come after a previous attempt to prevent state-level AI regulation failed in the Senate when lawmakers rejected inserting the proposal into a must-pass defense budget bill.
States have increasingly taken steps to regulate AI in response to rapid technological advancements and limited federal oversight. California, for example, passed the AI Safety and Transparency Bill SB 53, while Tennessee enacted the ELVIS Act to protect musicians from unauthorized AI-generated deepfakes of their voices and likenesses. Supporters argue that these measures address real consumer and worker protections, while opponents, including Silicon Valley figures such as OpenAI President Greg Brockman and White House AI advisor David Sacks, contend that a patchwork of state laws could stifle innovation and allow China to surpass the United States in AI development.
A draft of Trump’s executive order, leaked in recent weeks, indicates the creation of an AI Litigation Task Force to challenge state laws, a directive for federal agencies to assess laws deemed “onerous,” and an effort to implement national AI standards through the Federal Communications Commission and Federal Trade Commission. The draft also appears to give Sacks direct influence over AI policy, superseding the traditional role of the White House Office of Science and Technology Policy. Critics have described the measure as a “massive handout” to tech companies, prioritizing corporate profits over safety, jobs, and public protections.
Attempts to restrict state regulatory power have drawn bipartisan opposition. Earlier this year, Senator Ted Cruz’s proposal for a 10-year moratorium on AI legislation failed in the Senate 99-1, illustrating broad resistance to unfettered tech industry authority. Several prominent Republicans, including Rep. Marjorie Taylor Greene and Governor Ron DeSantis, have spoken against the EO, citing the importance of preserving federalism and the ability of states to implement local protections. Sen. Marco Rubio also cautioned Trump to allow states to lead on AI governance.
Concerns over AI harms provide context for state-level regulation. Reports of AI-related psychological impacts, including cases labeled “AI psychosis,” and incidents of suicide following prolonged interaction with AI chatbots have raised alarms among psychologists and policymakers. A coalition of more than 35 state attorneys general and over 200 state legislators recently warned Congress that federal preemption of AI laws could have “disastrous consequences,” highlighting the urgent need for oversight that balances innovation with public safety.
Trump’s proposed executive order underscores the tension between national leadership in AI and the rights of states to protect citizens. As AI continues to reshape economies and societies, the debate over how to govern emerging technologies reflects broader questions about federalism, public safety, and the power of tech companies in shaping the future.