State AI laws would be banned under clause buried in House budget bill

The proposed moratorium works in the favor of technology companies, in particular small AI developers who were struggling to keep up with a patchwork of state laws on AI.

“It gives innovators some breathing space to ensure a national AI market can robustly develop while encouraging state lawmakers to consider how best to utilize their extensive existing laws to address concerns that might develop,” wrote Adam Thierer, a senior fellow at R Street Institute, a libertarian think tank, in an email.