President Trump Issues Executive Order to Preempt State AI Regulations, Impacting California's Economy
President Trump has issued an executive order aimed at preempting state-level regulations on artificial intelligence (AI), a move that targets California's stringent AI laws. The order instructs federal agencies to identify and potentially litigate against state regulations deemed cumbersome, and it conditions federal funding on states not enacting or enforcing such policies. This action aligns with the interests of major AI industry players like OpenAI, Microsoft, Google, and Meta, who argue that a unified national policy is necessary to avoid the burdens of complying with multiple state regulations. The order also addresses concerns about ideological biases in AI models, a point of contention for both the Trump administration and Silicon Valley. Critics, including civil-society groups and some elected officials, argue that the order could undermine consumer protections and lead to job losses in states like California.