A 10-year federal moratorium on state artificial intelligence regulation has been overwhelmingly removed from President Trump’s “big beautiful bill” by the U.S. Senate. The 99-1 vote during a “vote-a-rama” session signals a clear preference for empowering states to develop their own AI policies, rather than imposing a federal freeze.
Republican Senator Marsha Blackburn was the driving force behind the successful amendment to strike the ban. Her actions highlight a growing recognition in the Senate that, in the absence of comprehensive federal oversight, states must be able to protect their citizens from potential harms associated with emerging AI technologies.
Initially, the Senate’s of the bill would have subtly penalized states with AI regulations by making them ineligible for a new $500 million fund for AI infrastructure. The complete removal of the ban, however, provides states with unhindered authority, removing all federal impediments to their AI regulatory efforts.
This outcome contrasts with the desires of major AI companies such as Google and OpenAI, who have publicly advocated for federal preemption to prevent a fragmented regulatory environment that could hinder innovation. However, Senator Blackburn strongly argued that “Until Congress passes federally preemptive legislation like the Kids Online Safety Act and an online privacy framework, we can’t block states from making laws that protect their citizens.”