In a significant challenge to federal authority over emerging technology, a bipartisan group of 40 state attorneys general sent a letter to Congress on Friday opposing a Republican proposal that would prevent states from regulating artificial intelligence for the next decade.
The measure, tucked into President Donald Trump's tax cut legislation, would immediately nullify all state-level AI regulations nationwide. "Imposing a broad moratorium on all state action, while Congress fails to act in this area is irresponsible and deprives consumers of reasonable protections," the coalition stated in their letter.
The group includes Republican attorneys general from Ohio, Tennessee, Arkansas, Utah, and Virginia, alongside Democratic counterparts from states like California and New York. South Carolina Attorney General Alan Wilson, a Republican, was particularly vocal in his criticism: "AI brings real promise, but also real danger, and South Carolina has been doing the hard work to protect our citizens. Now, instead of stepping up with real solutions, Congress wants to tie our hands and push a one-size-fits-all mandate from Washington without a clear direction. That's not leadership, that's federal overreach."
California Attorney General Rob Bonta emphasized that the ban would eliminate crucial consumer safeguards his state has implemented, including laws prohibiting AI-generated deepfakes in political advertising, requiring healthcare providers to notify patients when they're interacting with AI systems, and preventing automated medical necessity decisions without physician oversight.
The provision was advanced by the House Energy and Commerce Committee as part of budget reconciliation and faces an uncertain future in the Senate, where procedural rules may prevent its inclusion. Industry leaders like Google have supported the moratorium, calling it "an important first step to both protect national security and ensure continued American AI leadership."
The debate highlights the growing tension between innovation and regulation in the rapidly evolving AI sector. While tech companies argue that a patchwork of state regulations would hamper development and competitiveness against Chinese rivals, state officials counter that without federal alternatives in place, the moratorium would create a dangerous regulatory vacuum for a technology already transforming American society.