AXIOS July 3, 2025
The demise of a controversial proposal in Republicans’ budget bill that blocked state-level regulation of artificial intelligence is fueling fresh pressure for federal action, advocates told Axios Wednesday.
Why it matters: Congress’ reluctance to set national AI rules for privacy, safety and intellectual property rights has left states to forge ahead with their own rules.
Driving the news: Senator Ted Cruz (R-Texas) and some of his allies in the administration fought until the last minute to keep an industry-backed 10-year ban on state-level regulation in the budget bill. They failed — for now.
- “We hope that this unequivocal rebuke to the idea of saying that states can’t regulate AI is a lot of political motivation for the folks who...
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