In a move that has shaken up both tech circles and state capitals, U.S. House Republicans slipped a clause into their signature tax bill that would bar states and localities from regulating artificial intelligence for a full decade. Tucked inside the sweeping markup by the Energy and Commerce Committee, the provision aims to create a uniform, light-touch environment for AI developers—an industry that has long lobbied for consistent rules across all jurisdictions.
Proponents argue that a national standard helps startups and global tech players innovate without navigating 50 different rulebooks. But critics say it amounts to federal overreach, stripping state governments of their ability to protect citizens from emerging risks—particularly when half the states have already passed laws targeting AI deepfakes in political ads.
“Congress is incapable of meaningful AI regulation to protect the public. It is, however, quite capable of failing to act while also banning states from acting,” California state Sen. Scott Wiener wrote on social media, calling the proposal “truly gross.”
Even within the Republican ranks, there’s skepticism about the ban’s fate. Sen. John Cornyn of Texas questioned whether it could survive Senate rules around budget reconciliation, which require most measures to focus strictly on fiscal matters.
A bipartisan coalition of state attorneys general also fired off a letter opposing the clause. South Carolina Attorney General Alan Wilson, a Republican, warned that a one-size-fits-all mandate “ties our hands” and fails to address local needs for consumer protections and ethical safeguards.
For young entrepreneurs and tech enthusiasts watching from around the world, the debate highlights a bigger question: Who should call the shots on AI—the innovators racing to deploy new tools, or the communities grappling with potential harms? As Congress stalls and the Senate weighs its options, states are left wondering if they’ll lose their seat at the table just as AI’s impact on business, politics, and daily life begins to accelerate.
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U.S. Republicans include a 10-year ban on states regulating AI in bill
cgtn.com
