Washington D.C. – November 22, 2025 – The Trump administration has reportedly paused plans for an executive order that would have preempted state laws regarding artificial intelligence (AI) regulation, potentially opening the door for individual states to enact their own rules. This shift comes after facing anticipated opposition, even from within the Republican party, following a previous attempt to establish federal control over AI oversight.
Earlier this year, the Senate overwhelmingly rejected the ”Big Beautiful Bill,” which included a moratorium on state-level AI regulation, voting 99-1 to remove the provision. The bill would have required states to defer to federal regulations. Last week, reports surfaced that the administration was drafting an executive order to achieve a similar outcome.
On his Truth Social account, former President Trump advocated for a ”Federal Standard,” stating, “We MUST have one Federal Standard instead of a patchwork of 50 State Regulatory Regimes.We can do this in a way that protects children AND prevents censorship!” A draft of the proposed executive order indicated potential penalties for non-compliant states, including the loss of federal broadband funding, and the creation of an “AI Litigation Task force” to challenge state AI laws in court.
According to a recent Reuters report, the executive order is now on hold. It remains unclear weather the administration will pursue choice methods to implement federal AI regulations.For the time being, states are free to proceed with developing their own AI regulatory frameworks. The debate over AI regulation centers on balancing innovation with potential risks, with AI companies generally opposing restrictions and others advocating for caution given the rapid pace of technological advancement.
