US Senate Blocks State AI Regulation Ban

The US Senate blocked a ten-year ban on state-level AI regulation in the country. The controversial measure was backed by big tech companies. Senators approved an amendment to remove the moratorium from US President Donald Trump’s controversial tax-cut and spending bill.

Supporters of the AI proposal argued it would prevent a fragmented regulatory environment across US states that could compromise the country’s innovation and competitiveness against China. Some politicians pushed back against limiting state authority over AI, arguing it was a rapidly evolving technology with potential economic and social impacts.

As a result, Commerce Secretary Howard Lutnick offered a potential compromise, voicing support on the social media platform X for a shorter, five-year restriction instead. “If we’re serious about winning the AI race, we must prioritise investment and innovation,” he stated.

The amendment to President Trump’s bill was introduced by Republican Senator Marsha Blackburn. She has previously suggested a similar compromise to shorten the moratorium to five years and allow limited state regulation, such as protections for artists and online child safety, provided it did not create a disproportionate burden on AI systems.

However, Blackburn withdrew support for the proposition ahead of the amendment vote. “Blocking states from regulating AI without a national standard in place would hand another victory to greedy big tech companies who put profits over people,” she explained in a post on X.