Trump revives unpopular Ted Cruz plan to punish states that impose AI laws

President Trump is considering an executive order that would require the federal government to file lawsuits against states with AI laws, and prevent states with AI laws from obtaining broadband funding.

The draft order, “Eliminating State Law Obstruction of National AI Policy,” would order the attorney general to “establish an AI Litigation Task Force whose sole responsibility shall be to challenge State AI laws, including on grounds that such laws unconstitutionally regulate interstate commerce, are preempted by existing Federal regulations, or are otherwise unlawful in the Attorney General’s judgment.”

The draft order says the Trump administration “will act to ensure that there is a minimally burdensome national standard—not 50 discordant State ones.” It specifically names laws enacted by California and Colorado and directs the Secretary of Commerce to evaluate whether other laws should be challenged.

“That evaluation of State AI laws shall, at a minimum, identify laws that require AI models to alter their truthful outputs, or that may compel AI developers or deployers to disclose or report information in a manner that would violate the First Amendment or any other provision of the Constitution,” the draft order says.

The draft executive order was published by Transformer, an AI news site, and previously reported on yesterday by The Information.

Rejected Ted Cruz plan back in Trump form

The draft order brings back an idea proposed months ago by Sen. Ted Cruz (R-Texas), who wanted to shut states with AI laws out of the US government’s $42 billion Broadband Equity, Access, and Deployment (BEAD) program. Facing opposition from both Republicans and Democrats, Cruz softened his proposal, but it still lost in a 99-1 vote after Cruz himself gave up and voted against his own plan.