President Donald J. Trump’s One Big Beautiful Bill Act, specifically Section 43201, imposes a 10-year moratorium on state-level AI regulations.
This move, part of H.R.1, raises concerns about a future dominated by unchecked AI power.
The bill allocates $500 million to modernize federal IT systems with AI, but it also bars states from enforcing AI laws. Now, critics warn of an “AI tyranny” era.
The One Big Beautiful Bill Act’s Section 43201 outlines a significant shift in AI governance. Trump actively pushed for this bill, which the House passed. Section 43201 states,
“Except as provided in paragraph (2), no State or political subdivision thereof may enforce, during the 10-year period beginning on the date of the enactment of this Act, any law or regulation limiting, restricting, or otherwise regulating artificial intelligence models, artificial intelligence systems, or automated decision systems.”
This moratorium aims to prevent state interference in AI development. However, it allows exceptions for laws that facilitate AI deployment or impose federal requirements.
Therefore, this section prioritizes federal control over AI. The bill also funds AI modernization within the Department of Commerce, allocating $500 million until 2034. Thus, this dual approach sparks debate over innovation versus regulation.
Hellbound and Down 