President Donald Trump is actively considering an executive order to prevent states from enacting their own artificial intelligence laws, aiming to establish a single federal standard for AI regulation. This proposed order, titled "Eliminating State Law Obstruction of National AI Policy," seeks to foster innovation and ensure American competitiveness in the global AI race by avoiding a "patchwork" of state-specific rules. The draft order would direct the Attorney General, potentially Pam Bondi, to create an "AI Litigation Task Force" to challenge state AI laws, specifically mentioning those in California and Colorado, which Trump believes hinder innovation. Furthermore, it suggests the Commerce Department could make states with conflicting AI regulations ineligible for federal broadband funding. This initiative has sparked significant debate, with many Republicans and tech leaders supporting a unified federal approach, while others, including New York State Senator Andrew Gounardes, criticize it as federal overreach that could jeopardize public safety and allow powerful tech companies to avoid accountability. Gounardes specifically warned that blocking state AI laws puts New Yorkers' safety at risk, arguing that states must be able to create their own safeguards if the federal government fails to act. The plan has also caused division within the Republican party, with some, like Governors Ron DeSantis and Sarah Huckabee Sanders, advocating for states' rights to regulate AI. Meanwhile, Yann LeCun, a "godfather" of modern artificial intelligence and Meta's Chief AI Scientist, is departing the company after 12 years to launch his own startup. His new venture will focus on Advanced Machine Intelligence (AMI) research and "world models," as LeCun has been vocal about his belief that large language models (LLMs) are not the future of AI and will become obsolete. Meta will partner with his new firm, indicating continued support for AMI's long-term goals. In other developments, Finnish startup NestAI has secured €100 million and partnered with Nokia to create "Europe's leading physical AI lab," focusing on defense applications for robotics and autonomous systems. Europe is also adjusting its regulatory landscape by easing aspects of the General Data Protection Regulation (GDPR) and extending grace periods for its AI Act to boost business competitiveness. The global AI market is projected to reach $3.5 trillion by 2033, growing at an annual rate of 31.5%, with software and deep learning leading the charge. In financial markets, ING has launched an AI-powered tool called "Pathfinder Investment Research" with Behavox to provide instant market insights for FX trading. While firms like Jane Street and DASH have long used AI for trading efficiency, Federal Reserve Governor Lisa Cook has warned about potential risks of generative AI in financial trading, including market manipulation and collusion, highlighting the challenge of regulating complex algorithms. However, new AI technologies are also emerging to detect such behaviors. The Elders, a group of global leaders, are exploring a program for international AI governance to address the technology's risks, while the KYA+Pay model is emerging as a solution to monetize the quadrupled traffic from "Agentic AI" by identifying and controlling access for autonomous agents.
Key Takeaways
- President Donald Trump is considering an executive order to prevent states from enacting their own AI laws, aiming for a single federal standard to boost innovation.
- The proposed order would create an "AI Litigation Task Force" under the Attorney General to sue states and could make non-compliant states ineligible for federal broadband funding.
- New York State Senator Andrew Gounardes criticized Trump's plan, stating it risks New Yorkers' safety and accusing powerful tech companies of pushing for deregulation.
- Yann LeCun, Meta's Chief AI Scientist and an AI pioneer, is leaving Meta after 12 years to start his own company focused on Advanced Machine Intelligence and "world models," expressing skepticism about the long-term future of large language models.
- Finnish startup NestAI secured €100 million and partnered with Nokia to develop physical AI for defense applications, aiming to become Europe's leading physical AI lab.
- Europe is easing its GDPR and extending grace periods for its AI Act to reduce administrative burdens and accelerate AI adoption for businesses.
- The global AI market is projected to reach $3.5 trillion by 2033, with an annual growth rate of 31.5%, driven by deep learning and investments across various sectors.
- ING has launched "Pathfinder Investment Research," an AI-powered tool developed with Behavox, to provide real-time market insights for its FX trading teams.
- Federal Reserve Governor Lisa Cook warned about potential risks of generative AI in financial trading, including market manipulation and collusion, while acknowledging emerging AI solutions to detect such behaviors.
- The KYA+Pay model (Know Your Agent + Pay) is being introduced by DataDome and Skyfire to help businesses monetize "Agentic AI" traffic by verifying agents and controlling their access to content.
Trump considers order to stop state AI laws
President Trump is thinking about an executive order to stop states from making their own AI laws. He wants a single federal rule for AI to help American companies innovate and win the global AI race. The order would tell the Attorney General to create a task force to challenge state laws. It would also direct the Federal Trade Commission to explain how federal laws could overrule state AI rules. Many Republicans and tech leaders support this idea, but some lawmakers and governors, like Sarah Huckabee Sanders, oppose it, fearing it would remove important safeguards.
Trump draft order targets state AI rules
President Donald Trump is considering an executive order to stop states from creating their own AI laws. The draft order would create an "AI Litigation Task Force" under Attorney General Pam Bondi to sue states whose AI rules might violate federal laws. It also suggests the Commerce Department could make states ineligible for federal broadband funding if their AI laws conflict with the federal approach. Trump and tech groups argue that many state laws, like those in California and Colorado, create a "patchwork" that slows innovation. However, groups like the ACLU worry this move would undermine public trust in AI safety.
Trump administration plans order against state AI rules
The Trump administration has drafted an executive order to challenge state laws regulating artificial intelligence. This order would create a task force led by Attorney General Pam Bondi to argue that state AI rules interfere with the federal government's power over interstate commerce. President Trump believes a single federal standard is needed instead of many different state laws, which he says hinder innovation. However, critics like Travis Hall from the Tech Oversight Project argue that an executive order cannot override state laws, and Congress has already rejected similar bans.
White House drafts order to sue states over AI laws
The Trump administration is preparing an executive order that would tell the Justice Department to sue states over their artificial intelligence laws. A draft of this order was reviewed by The Washington Post. A person familiar with the White House discussions confirmed the effort. However, this proposal might go against the legal limits of a president's power.
Trump order aims to stop state AI regulations
President Donald Trump is considering an executive order to give the federal government sole power over AI regulation. The draft order would create an "AI Litigation Task Force" to sue states whose AI laws, like those in California and Colorado, hinder the AI industry. It also directs the Commerce Secretary to identify non-compliant states, potentially making them ineligible for federal broadband funding. The order aims to prevent a "patchwork" of state laws and promote a single federal standard for AI innovation. Critics, however, suggest this move could be challenged in court and might face opposition similar to past attempts in Congress.
Trump seeks federal control over AI laws
The Trump administration is drafting an executive order to give the federal government broad power over artificial intelligence regulation. This draft order, titled "Eliminating State Law Obstruction of National AI Policy," would direct the Justice Department to create an "AI Litigation Task Force" to sue states with their own AI laws. It also allows the Commerce Department to withhold federal funding, including for broadband, from states that do not comply. The order specifically mentions California and Colorado, arguing their "fear-based" regulations hurt US innovation. This move aims to establish a single federal standard, despite past congressional efforts failing and some Republicans typically supporting state sovereignty.
White House plans order to stop state AI rules
The White House is preparing an executive order to prevent states from passing their own artificial intelligence laws. This order, expected in the coming weeks, aims to create a single federal standard for AI, covering safety, security, and privacy. It is seen as a win for AI companies that have lobbied against varied state regulations. The administration believes a consistent federal approach will boost innovation and growth in the AI industry, benefiting both the economy and consumers through safer AI products.
Trump pushes Congress to block state AI rules
President Donald Trump is urging Congress to include a provision in the annual defense bill that would stop states from regulating artificial intelligence. This effort, led by White House AI czar David Sacks and House Majority Leader Steve Scalise, aims to prevent states like New York and California from enacting their own AI laws. The tech industry largely opposes state-level regulations, arguing they stifle innovation and create confusing rules. This move highlights the ongoing disagreement between federal and state governments on how to manage new technologies like AI.
Trump revives plan to block state AI laws
President Donald Trump is renewing efforts to block states from regulating artificial intelligence, causing concern among safety advocates. A draft executive order would create an "AI Litigation Task Force" to challenge state AI laws and replace them with a federal policy. Trump and tech leaders argue that a "patchwork" of state rules slows innovation and hurts US competitiveness. However, critics, including Florida Governor Ron DeSantis and Senator Ed Markey, warn this move is federal overreach and could allow AI companies to avoid accountability for harmful uses like deepfakes or algorithmic discrimination. This push comes after a similar attempt in Congress failed in July and follows a White House dinner with top tech executives.
New York Senator warns Trump AI ban risks safety
New York State Senator Andrew Gounardes criticized President Trump's plan to block state AI laws, stating it puts New Yorkers' safety at risk. Senator Gounardes, who sponsored the RAISE Act, believes that powerful tech companies are pushing for no regulation at all. He argues that if the federal government fails to protect people, states like New York must be able to create their own AI safeguards. Gounardes called the situation "life or death" and accused Trump and Republicans of lying about wanting a national AI safety standard.
Trump plans to punish states with AI laws
President Trump is considering an executive order that would allow the federal government to sue states with their own AI laws and block them from receiving federal broadband funding. The draft order, "Eliminating State Law Obstruction of National AI Policy," aims to create a single national AI standard instead of many state rules. It would direct the Attorney General to form an "AI Litigation Task Force" to challenge state laws, especially those in California and Colorado. The order also instructs the Commerce Department to make states with conflicting AI laws ineligible for certain federal funds. This plan revives an earlier, unpopular proposal by Ted Cruz and faces opposition from lawmakers like Senators Marsha Blackburn and Maria Cantwell, who advocate for states' rights to protect citizens.
White House weighs order to override state AI laws
The White House is considering an executive order to prevent states from enacting their own artificial intelligence laws. The draft order, "Eliminating State Law Obstruction of National AI Policy," aims to create a single federal standard, arguing that many state laws hinder innovation. It proposes withholding federal funds, including broadband money, from states whose AI regulations are deemed too strict or violate the First Amendment. The Commerce Department and AI and Crypto Czar David Sacks would evaluate state laws. While some groups support a unified federal approach, others like The Tech Oversight Project worry this move would remove vital protections for minors and benefit Big Tech at the public's expense.
Trump's AI plan divides Republicans
President Trump's renewed efforts to stop states from regulating artificial intelligence are causing division within the Republican party. Trump argues that state overregulation threatens the AI industry and calls for a single federal standard to ensure American competitiveness. However, some Republicans, including Representative Marjorie Taylor Greene and Governors Ron DeSantis and Sarah Huckabee Sanders, oppose this, emphasizing states' rights to create their own AI safety laws. They believe stripping states of this power would benefit Big Tech and prevent local protections for citizens.
White House plans order to stop state AI rules
The White House is developing an executive order to challenge states' efforts to create their own artificial intelligence laws. This order, which President Trump may sign soon, aims to establish a single federal AI standard instead of a "patchwork of 50 State Regulatory Regimes." It would create an "AI Litigation Task Force" under Attorney General Pam Bondi to sue states and could make states with conflicting AI laws ineligible for federal broadband funding. While AI industry leaders support this, state lawmakers like New York's Alex Bores criticize it as a "blank check" for tech billionaires, warning it could harm jobs and children.
Trump's AI regulation plan sparks Republican dissent
President Donald Trump is pushing for a national standard for AI regulation, arguing that state-level rules hinder economic growth and lead to "Woke AI." He believes a single federal framework will protect children and prevent censorship, suggesting it could be an executive order or part of the National Defense Authorization Act. However, this proposal faces opposition from within his own party, including Representative Marjorie Taylor Greene and Governors Ron DeSantis and Sarah Huckabee Sanders. They argue that states should keep their right to regulate AI to protect citizens from issues like online censorship and predatory applications, calling Trump's plan federal overreach and a subsidy for Big Tech.
Trump's AI regulation plan divides his supporters
President Donald Trump's push for federal control over AI regulation is creating a divide among his supporters, including Silicon Valley-friendly Republicans and MAGA populists. Trump is considering an executive order to override state AI laws, aiming for a unified national standard. However, figures like lawyer Mike Davis and media influencer Steve Bannon warn of a "tremendous conservative grassroots backlash" against such a move. Representative Marjorie Taylor Greene also opposes it, arguing states should maintain their right to regulate AI. The proposal faces an uncertain future in Congress, with key Republicans like Mike Rogers expressing reluctance to include it in the defense bill.
AI pioneer Yann LeCun leaves Meta to start new company
Yann LeCun, a "godfather" of modern artificial intelligence and Meta's Chief AI Scientist, is leaving the company after 12 years to launch his own startup. His new venture will focus on Advanced Machine Intelligence (AMI) research, a project he developed with colleagues at FAIR and New York University. LeCun founded Facebook AI Research (FAIR) in 2013, leading breakthroughs in deep learning, computer vision, and large-scale language modeling that shaped Meta's AI systems. Meta will partner with his new firm, showing continued support for AMI's long-term goals. LeCun, along with Geoffrey Hinton and Yoshua Bengio, won the 2018 Turing Award for their contributions to deep learning.
AI pioneer Yann LeCun departs Meta for new venture
Yann LeCun, a renowned "godfather" of artificial intelligence, is leaving his role as Meta's chief AI scientist after 12 years to start his own company. He plans to focus on "advanced machine intelligence," which uses visual learning, differing from Meta's current emphasis on large language models. LeCun believes LLMs are less effective for achieving human-like intelligence and has openly doubted claims of AI posing an existential threat. During his time at Meta, he founded Facebook AI Research (FAIR), which he calls his "proudest non-technical accomplishment," driving significant advancements in deep learning.
Meta's AI chief Yann LeCun starts new company
Yann LeCun, Meta's Chief AI Scientist and a key figure in deep learning, is leaving the company to launch his own startup. LeCun has been vocal about his belief that large language models (LLMs) are not the future of AI and will become obsolete within five years. He plans to focus his new company on building "world models," which he believes will eventually replace LLMs. This move comes as Meta has been spending heavily in the AI race, but LeCun's departure suggests a different vision for the future of AI development.
Finland's NestAI gets €100M, partners Nokia for defense AI
Finnish startup NestAI has raised €100 million to create "Europe's leading physical AI lab" and announced a partnership with Nokia. NestAI will focus on developing physical AI for robotics, autonomous systems, and advanced sensor technology, especially for defense applications. Nokia, a leader in telecommunications, will contribute its expertise in secure network technology to integrate AI into defense systems. This investment will help NestAI expand its research, hire top talent, and become a major player in the global AI market, focusing on reliable and secure solutions for the defense industry.
Nokia and NestAI partner, NestAI secures €100M for AI innovation
Nokia and NestAI have formed a strategic partnership to advance AI-powered solutions for defense and critical infrastructure. Nokia and Tesi, a Finnish investment company, are investing a combined €100 million in NestAI. NestAI, a fast-growing physical AI lab, develops next-generation AI for unmanned vehicles, autonomous operations, and command and control platforms. This collaboration will combine Nokia's secure connectivity expertise with NestAI's platforms to accelerate AI capabilities for defense and national safety. The partnership aims to strengthen Europe's security and technological leadership.
Europe relaxes AI and privacy laws
Europe is easing its General Data Protection Regulation (GDPR) and slowing the implementation of its AI Act to help European businesses compete. The proposed changes make it easier for companies to share anonymized data and for AI developers to train models on personal data. The AI Act's grace periods for high-risk systems will be extended, giving organizations more time to comply. These reforms aim to reduce administrative burdens, simplify laws, and consolidate AI oversight into the EU's new AI Office. While this could accelerate AI adoption, it also raises questions about balancing innovation with user rights and data protection.
Turn AI agent traffic into revenue with KYA+Pay
The rise of "Agentic AI," where autonomous agents interact with content, has quadrupled AI traffic this year. Companies need to move beyond simply blocking or taxing this traffic and instead build trust-based interactions to generate revenue. The KYA+Pay model, or Know Your Agent + Pay, offers a solution by identifying AI agents and controlling their access to content. DataDome and Skyfire have partnered to integrate this model, allowing businesses to verify agents and set rules for access, such as free use, rate limits, or direct payments. This system turns content into a secure, monetizable asset by linking DataDome's security with Skyfire's token-based identity and payment system.
Leaders discuss AI, innovation in options trading
Industry leaders recently discussed the impact of AI, innovation, and standardization on options trading. Dave Kovtun from Jane Street noted his firm has used AI for years to sharpen its trading edge, especially with the growing complexity of options. David Dooman of DASH explained his company uses machine learning for efficiency in analytics and order placement. Shelly Brown from MIAX stated that exchanges limit AI use in core matching engines, focusing it on back-office tasks due to regulatory requirements. While standardization offers benefits like risk reduction, it can also slow innovation, which leaders agree is a major driver of growth in the industry.
ING launches AI tool for FX trading research
ING has partnered with Behavox to introduce "Pathfinder Investment Research," an AI-powered tool designed to provide instant, plain-language access to ING's market insights. This new technology will help ING's FX teams deliver real-time intelligence to clients in currency markets and will be rolled out across all asset classes. Pathfinder uses large language models to transform how investment research reaches front-office teams, allowing users to ask questions and receive clear, research-driven answers. The tool operates on ING's own data within a secure AI framework, ensuring it meets strict governance and regulatory standards.
AI market to reach $3.5 trillion by 2033
The global artificial intelligence market is expected to grow significantly, reaching $3.5 trillion by 2033 with an annual growth rate of 31.5%. This growth is driven by AI's increasing use in consumer wearables and major tech company investments. Advances in deep learning and artificial neural networks are also speeding up AI adoption across industries like healthcare, manufacturing, and automotive. In 2024, the software segment led the market, deep learning was the top technology, and healthcare was the leading sector for AI adoption. The Asia Pacific region is projected to have the fastest growth in the AI market.
The Elders explore global AI governance program
The Elders, a group of global leaders, are considering a new program to address the international governance of artificial intelligence. They recognize AI's potential benefits but also its huge risks, such as increasing catastrophic events and human rights violations, if not properly regulated. Currently, decision-making on AI is largely driven by private companies, and global cooperation is lacking. The Elders seek a consultant to develop a program strategy, an implementation plan, and identify partners to help them make effective interventions. This work aims to translate complex AI issues into clear language and link them to the Elders' core priorities.
Fed warns of AI risks in financial trading
Federal Reserve Governor Lisa Cook warned about the potential risks of generative AI in financial trading, including market manipulation and collusion. Speaking at Georgetown University, Cook noted that some AI trading algorithms could learn to collude without explicit intent, harming market efficiency. She also mentioned studies showing AI systems could use "spoofing strategies" by placing fake orders to mislead the market. Cook highlighted the challenge of regulating complex, opaque AI algorithms. However, she also acknowledged that new AI technologies are emerging to detect such behaviors, potentially strengthening market integrity.
Sources
- Trump mulling executive order to block state AI laws
- Trump Takes Aim at State AI Laws in Draft Executive Order
- Trump administration drafts an executive order regulating state AI laws
- White House drafts order directing Justice Department to sue states that pass AI regulations
- Here’s the Trump executive order that would ban state AI laws
- Trump administration eyes sweeping federal power over AI, draft order shows
- What’s Next for State AI Laws After Trump Order
- Trump seeks to halt state AI rules vilified by tech industry
- Trump renews effort to block states from regulating AI, raising alarms about safety
- Sen. Gounardes: Trump’s Proposed Ban on State AI Safeguards Puts New Yorkers’ Safety at Risk
- Trump revives unpopular Ted Cruz plan to punish states that impose AI laws
- White House considers order to preempt state AI laws
- MAGA is once again divided over AI
- White House crafting executive order to thwart state AI laws
- Donald Trump faces new MAGA revolt over AI proposal
- Trump’s Base Is Divided in the Battle Over Regulating AI
- Yann LeCun to leave Meta, launch AI startup focused on Advanced Machine Intelligence
- AI godfather Yann LeCun to leave Meta and start own firm
- Metaverse Madness: Meta's Chef AI Scientist Is Ditching Mark Zuckerberg For New Startup
- Finland’s NestAI lands €100M, partners with Nokia to build AI for defense applications
- Nokia and NestAI Announce Strategic Partnership and NestAI Raises €100 Million to Accelerate Physical AI Innovation
- Europe Eases AI and Privacy Laws: Key Takeaways for IT and Security Leaders
- Beyond Pay-Per-Crawl: How to Turn AI Agent Traffic Into Revenue
- Industry Leaders Weigh In on AI, Innovation, and Standardization
- ING Offers AI-Powered Research Model for FX Trading
- AI Market Poised to Hit $3.5 Trillion by 2033, Powered by 31.5% Annual Growth
- Consultancy: Artificial Intelligence
- Fed's Cook sees risk in Gen AI-manipulated financial trading
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