Expert Perspectives on 10-Year Moratorium on Enforcement of US State AI Laws

Adam Thierer, Senior Fellow, R Street Institute

Congress is right to consider an AI moratorium to address the problematic rise of state and local regulatory proposals that interfere with interstate algorithmic commerce. With over 1,000 AI-related measures now pending in the United States, innovators face the prospect of the Mother of All Regulatory Patchworks encumbering their efforts. This would have a damaging effect on new business formation, competition, investment, product development, and consumer choice in this crucially important area.

Even with a moratorium on AI-specific regulatory enactments, however, state and local lawmakers would still be free to pass new technology-neutral rules so long as those regulations do not interfere with interstate algorithmic commerce. State and local lawmakers will need to tailor their policies to ensure their rules do not discriminate against AI offerings or have extraterritorial effect.

Importantly, an AI moratorium would not prevent state lawmakers or attorneys general from addressing AI concerns through the many existing legal and regulatory remedies already on the books, including: unfair and deceptive practices law, civil rights laws, product defects law, common law remedies, and various other consumer protections. As the Massachusetts Attorney General’s office correctly noted in 2024, “existing state consumer protection, anti-discrimination, and data security laws apply to emerging technology, including AI systems, just as they would in any other context.”

The AI moratorium being considered currently would rightly limit efforts by states to try to engage in backdoor AI regulation through new rules on automated decision-making systems. But generally applicable rules for privacy and cybersecurity would not run afoul of an AI-focused regulatory moratorium.

Congress has used moratoria before to protect interstate commerce and promote emerging technology innovation and competition. The time has come for federal lawmakers to do the same for AI.