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Trump’s AI plan rewrites the rules on oversight and state power

The news: The Trump administration unveiled a sweeping AI action plan that trades oversight for acceleration—seeking to supercharge US dominance in artificial intelligence by dismantling regulatory guardrails, undercutting state authority, and fast-tracking infrastructure and development, per Wired.

  • The 90-point plan rewrites the rules of Biden-era AI governance, tilting the balance from safety to speed. 
  • It favors deregulation, curbs state-level controls, and pushes US firms to outpace China—potentially reshaping the global AI power structure at the cost of accountability. 

The White House expects most policies to be executed in six months to a year, per FedScoop.

Here are some key points expected to have an immediate impact on the AI market:

  • Deregulation: Discourages federal and state AI regulations, urging agencies like the FCC to curb their restrictive policies.
  • State limits: Proposes withholding federal funds from states with strict AI rules, challenging some states’ head start on AI regulation.
  • Infrastructure: Calls for ramping up AI framework without climate guardrails—“We need to build and maintain vast AI infrastructure and the energy to power it. To do that, we will continue to reject radical climate dogma and bureaucratic red tape,” per the action plan.
  • Bias crackdown: States that the government will only seek “contracts with frontier large language model (LLM) developers who ensure that their systems are objective and free from top-down ideological bias.”
  • Global competition: Focuses on outpacing China through partnerships (e.g., Softbank-Oracle-OpenAI’s $100 billion Stargate project) and revised export controls.

Safety as a tradeoff for innovation: Loosening regulations and fast-tracking federal approvals may supercharge homegrown AI innovation, which means an even faster pace of development but also a higher potential for AI mishaps and accelerated model collapse

  • Expect startups and Big Tech to launch products rapidly, which can intensify competition and innovation but without ethical or security safeguards.
  • A hands-off AI policy shifts safety responsibility to companies—many of which lack the resources for robust safeguards and risk testing.

Our take: For marketers, this could mean an influx of new tools, looser content moderation, and shorter time to market for AI-driven campaigns. Marketers should audit their AI tools, implement AI best practices and safety training, and prepare for faster deployment cycles in a looser regulatory environment.

This content is part of EMARKETER’s subscription Briefings, where we pair daily updates with data and analysis from forecasts and research reports. Our Briefings prepare you to start your day informed, to provide critical insights in an important meeting, and to understand the context of what’s happening in your industry. Non-clients can click here to get a demo of our full platform and coverage.

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