The White House is preparing a draft executive order that would give federal agencies the power to challenge and potentially override state laws regulating artificial intelligence (AI). The proposal would direct the Department of Justice to create an “AI Litigation Task Force” tasked with suing states whose AI-laws conflict with federal policy.
Under the draft, the Department of Commerce would review state statutes and publish a list of laws deemed burdensome or conflicting with federal priorities. States that pass or enforce certain AI regulations could risk losing federal grants or broadband-deployment funding.
The administration argues that a patchwork of 50 different state rules hurts U.S. leadership in AI and stifles innovation, especially as global competition intensifies. Some state officials and civil-liberties groups warn that bypassing state oversight could weaken protections against discrimination, deepfakes and opaque algorithms.
Legal experts say the approach is aggressive and faces constitutional questions, because only Congress can clearly preempt state laws. The draft order is still under review and no final text has been signed yet.
This move signals a shift in how AI might be governed in the U.S. Instead of each state setting its own rules, a single federal standard could soon become the baseline—or the battleground.