The race to regulate AI has sparked a federal vs state showdown | TechCrunch

"In the absence of a meaningful federal AI standard that focuses on consumer safety, states have introduced dozens of bills to protect residents against AI-related harms, including California's AI safety bill SB-53 and Texas's Responsible AI Governance Act, which prohibits intentional misuse of AI systems. The tech giants and buzzy startups born out of Silicon Valley argue such laws create an unworkable patchwork that threatens innovation."

"House lawmakers are reportedly trying to use the National Defense Authorization Act (NDAA) to block state AI laws. At the same time, a leaked draft of a White House executive order also demonstrates strong support for preempting state efforts to regulate AI. A sweeping preemption that would take away states' rights to regulate AI is unpopular in Congress, which voted overwhelmingly against a similar moratorium earlier this year."

In the absence of a federal AI safety standard, states have enacted or proposed numerous laws to protect residents from AI-related harms, such as California's SB-53 and Texas's Responsible AI Governance Act. Major technology companies and startups warn that divergent state rules create an unworkable patchwork that could stifle innovation and harm U.S. competitiveness. Industry and some White House officials are pushing for a single national standard and efforts have emerged to preempt state action, including proposals to use the NDAA and a leaked draft executive order. Congressional resistance to broad preemption persists while lawmakers work on a comprehensive federal bill.

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