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Monday, July 14, 2025

Senate Votes to Empower States on AI Regulation

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The U.S. Senate has overwhelmingly voted to remove a 10-year federal moratorium on state artificial intelligence regulation from President Trump’s expansive tax-cut and spending bill. The 99-1 vote on Tuesday represents a significant move to empower states to develop and implement their own AI policies, rather than being constrained by a federal ban.
Republican Senator Marsha Blackburn successfully introduced the amendment to strike the ban during a marathon “vote-a-rama” session. This decision highlights a prevailing sentiment among lawmakers that, in the absence of comprehensive federal guidelines, states should have the flexibility to address the complex issues arising from AI.
The Senate’s original of the bill had a less direct impact on state AI regulation, merely making states with such rules ineligible for a new $500 million fund for AI infrastructure. The complete removal of the ban, however, provides states with full authority, removing any federal disincentives or restrictions on their AI regulatory efforts.
While prominent AI companies like Google and OpenAI have expressed support for a unified federal regulatory framework to streamline innovation, Senator Blackburn emphasized the critical need for state action. She asserted that “The current language is not acceptable to those who need these protections the most.”

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