An executive order signed by President Donald Trump may place Texas at odds with the federal government due to a new state law concerning the regulation of artificial intelligence (AI).
Last week, Trump enacted an executive order that threatens to withhold federal broadband funding from states that implement AI regulations considered “onerous and excessive” by the federal authorities.
Texas has enacted one of the most detailed frameworks for AI regulation in the nation, and the state is set to receive up to $3.3 billion through the federal broadband program to enhance internet access statewide.
A bipartisan coalition of lawmakers is working to uphold the state law, which is slated to take effect on January 1. They contend that an unregulated AI industry poses risks to children and consumers. State Senator Angela Paxton, a Republican from McKinney, emphasized the need for responsible AI oversight, stating, “I want Texas to be a leader in AI, but I don’t want Texas to be a leader in AI-generated child pornography.”
Paxton, who has experience as a school teacher, referenced the challenges posed by the rise of the internet during her career. She noted alarming reports about the use of AI in generating child pornography and chatbots that have prompted individuals to consider self-harm, which fueled her advocacy for sensible regulations in Texas.
Leading a group of 16 state senators, including eight Republicans and seven Democrats, Paxton co-authored a letter in November addressed to U.S. Senators Ted Cruz and John Cornyn, urging them to support Texas’ law and to oppose any federal efforts that might restrict state AI regulations.
The letter stated, “If an AI moratorium is put in place, our important work on preventing child pornography, protecting data privacy, preventing discrimination, and holding Big Tech accountable in Texas will be rendered moot. Surely we can all agree that these kinds of state protections do not interfere with legitimate innovation and are reasonable and appropriate.”
State Senator Carol Alvarado, a Democrat from Houston and chair of her party’s caucus, dismissed the notion that an executive order could override state law, asserting that only Congress holds that authority. She expressed skepticism about the federal government’s ability to effectively legislate protections for constituents, especially in light of recent governmental shutdowns.
The Texas law explicitly prohibits government agencies from utilizing AI systems to assign “social scores” and bans the creation of AI tools that promote self-harm, violence, or criminal activity. It also restricts AI use that would limit a person’s access to political content or infringe on freedoms of expression and association.
While Cornyn has previously voiced concerns regarding federal attempts to override state AI regulations, Cruz has been a vocal supporter of the executive order, arguing that a patchwork of state regulations could hinder AI development. At the signing ceremony, Cruz remarked, “It’s a race, and whoever wins, the values of that country will affect all of AI.” He asserted the importance of upholding American values, contrasting them with those of countries like China.
Trump’s executive order includes an exception for state laws related to “child safety protections,” although the enforcement of this provision remains ambiguous. Paxton and other critics of the order fear it may deter state legislatures nationwide from pursuing AI regulations, regardless of specific exceptions.
Paxton and her fellow senators contended that Texas’ law effectively bans the misuse of AI while still allowing for innovation among companies. Brendan Steinhauser, CEO of the nonprofit Alliance for Secure AI based in Washington, D.C., praised Texas’ law as a crucial step to “pump the brakes” on AI, highlighting the frequent deadlocks in Congress over contentious issues and advocating for states to make their own regulatory decisions regarding rapidly evolving technologies.
“You can’t get Republicans and Democrats to hardly agree on anything, and we were able to do that in Texas,” Steinhauser noted. He emphasized the importance of local communities having a say in regulatory matters, warning that a lack of safeguards could allow big tech companies to dominate without accountability.
Paxton echoed Cruz’s and Trump’s aspirations to foster innovation in AI, expressing her bewilderment at Congress’s inability to establish a national regulatory framework to ensure safe development. She stated, “It’s hard for Congress to do stuff. So in the meantime, I don’t think the states should be locked down to take care of those things … A measured approach to things, especially when we already know they’re dangerous, makes all the sense in the world.”
