Trump Unveils AI Plan That Hinges on Deregulation

On Wednesday, the White House published an AI Action Plan containing policy recommendations and initiatives that the administration says will cement the position of the U.S. as the AI global leader.

The administration largely hopes to achieve its lofty AI goals by rolling back regulation for the industry. The package is widely regarded as favoring Silicon Valley.

Under the plan, three major pillars are expected to work in tandem to make the U.S. the undisputed leader in the AI industry. One pillar is accelerating AI innovation within America, the second is ramping up the establishment of artificial intelligence infrastructure within the country, and the third is taking steps to ensure that American-made AI software and hardware becomes the go-to standard around the world.

The action plan underscores the extent to which the administration regards AI as a top priority in the country’s determination to outcompete China in this industry that could reshape not just the technology world but the military as well.

Trump referred to AI as a beautiful baby that had just been born and he vowed to do everything he can to ensure that the baby grows. He added that the growth of this beautiful baby will not be jeopardized by “foolish rules” or politics under his watch.

This reference to politics could explain why the action plan includes an admonition that any AI system procured by federal government agencies must not have any “ideological bias” from the top to the bottom of the large language model underpinning that AI system. This stipulation is seen as a MAGA-friendly inclusion in the action plan.

The plan comes at a time when tech leaders and lawmakers have been sharply divided regarding the ways in which AI ought to be regulated. There are concerns about speeding innovation while also addressing safety concerns.

While the U.S. Senate removed a legal provision from a bill that would have placed a 10-year moratorium on the ability of individual states to pass their own AI regulations, this action plan includes language indicating that federal funding for AI-linked programs would be awarded after assessing the regulatory climate of that state with regard to AI. This is an indirect way of saying funding would be withheld to those states that have rules regarded as restricting AI development and deployment within their jurisdiction.

Trump’s views on how AI should be regulated have come under widespread criticism for being overly influenced by Silicon Valley interests since they favor tech firms at the expense of having guardrails aimed at ensuring AI doesn’t pose avoidable risks, such as harming kids and causing job losses.

It remains to be seen what tech giants like Nvidia Corp. (NASDAQ: NVDA) will make of the details contained in this 28-page plan published by the White House.

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