Trump administration might not fight state AI regulations after all

The Trump administration has been targeting state-level AI regulation, with the president declaring in a social media post this week that the industry needs “one Federal Standard instead of a patchwork of 50 State Regulatory Regimes.”

This comes after a 10-year ban on state AI regulation was initially included in Trump’s “Big Beautiful Bill” before ultimately getting removed by the Senate in a 99-1 vote. 

The idea then apparently took on a new form, with the administration reportedly drafting an executive order that would establish an AI Litigation Task Force with a mission to challenge state AI laws through lawsuits. States with contested AI laws would also reportedly be threatened with the loss of federal broadband funding.

Now, Reuters reports that the executive order has been put on hold. If signed, the order would probably face significant opposition, including from Republicans who previously criticized the proposed moratorium on state regulation.

AI regulation has also been a controversial topic in Silicon Valley, with some industry figures — especially those in the Trump administration — attacking companies like Anthropic for supporting AI safety bills including California’s SB 53.